The AUD/USD has certainly seen its fair share of drama amid the US election season, marked by increased volatility. Despite the ups and downs, there’s been a reliable pattern where buyers enter the fray whenever the price nears the ascending 100-hour moving average. This trend has kept buyers consistently active in the market.
On the other hand, gains witnessed on Monday and Tuesday hit a wall, as sellers defended their ground around the 38.2% retracement level at 0.62902. Resistance was particularly strong within a price zone stretching from 0.6287 to 0.6301.
Earlier today, this area was tested once more. The price momentarily pierced through the 38.2% retracement, but sellers swiftly reasserted themselves, especially near the top end of this swing region, driving the price down again.
For those betting on a bearish trend, holding the price below this swing zone is crucial to maintaining that downward momentum. Conversely, if the price drops below 0.6274, it could inspire further selling pressure, directing the focus to 0.6245 and eventually converging with the upward-tilting 100-hour moving average. These key levels will be instrumental in charting the pair’s future course.
