The AUDUSD made new cycle lows this week, but bottomed midweek and moved higher on Thursday and Friday. The move back to the upside took the pair back into a “red box” that confined price action for 3-months. The break failed. The buyers returned.
However, the run to the upside on Friday ran into resistance against the high of a swing area on the daily chart, and a key retracement level on the hourly chart (the May trading range).
So as we head into the new week, there is key resistance on the top and key support on the downside as well and both the daily and hourly charts support those levels for different reasons.
Find out why those levels are key and where they are in this video.
Be aware. Be prepared.
This article was written by Greg Michalowski at www.forexlive.com.