- AUDUSD rebounds off 0.6360
- Bullish doji indicate upside correction
- MACD and RSI tick higher
AUDUSD is heading upwards after the bullish doji candle that has been posted last Friday, adding almost 3%. The market is challenging the short-term simple moving averages (SMAs), switching the outlook to a neutral one.
The technical oscillators are suggesting more upside pressure though. The MACD is crossing above its trigger line in the negative territory, while the RSI is trying to jump above the neutral threshold of 50 with strong momentum.
Any movements beyond the SMAs could take traders until the next resistance area of 0.6635-0.6665, which is acting as an upper boundary of a sideways channel. Moving higher, the 0.6730 barricade could be a strong obstacle for the bulls before hitting the 0.6870 level, taken from the peak on December 28.
Alternatively, a downside retracement could open the way for more losses until the previous bottom of 0.6360 and the 0.6340 support level. Steeper decreases may retest the 0.6270 low, registered back on October 26.
To sum up, AUDUSD is returning within the consolidation area, failing to express a clear directional movement in the short-term.
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