AUDUSD is down sharply today completing “the lap” from the low to the high and back down | investingLive

The AUDUSD is down sharply in trading today. The currency pair is down -0.81% from yesterday’s close. Technically the bias has shifted from more bullish to more bearish on the move lower.

Looking at the hourly chart, the initial move was to the upside taking out the high price from yesterday in the process at 0.6562. The high price reached 0.6567 before rotating to the downside. Buyers started to shift the two sellers below 0.65407 swing level.

The PPI data added to the negative sentiment sending the price through the 100-hour moving average at 0.6523, and then followed by the 200-hour moving average at 0.6503..

The low price got within a few pips of the low from Tuesday’s trade at 0.6481. The low price for the day reached 0.6483 just 2pips above that level. That is close enough for completing “the lap” that took the price from the low on Tuesday, to the high today and all the back down to the low.

Buyers are leaning against the low. If broken, and opens the door for further selling.

For traders look for more downside after the sharp move lower, it would take a move back above the broken 38.2% retracement at 0.64966 and the 200 hour moving averages 0.6508. Absent that and they sellers are still holding the best hand.