AUDUSD Gains Traction for the 4th Day in a Row on Thursday Amid the Weaker Greenback

AUDUSD Price Analysis – November 5

The upbeat market mood further undermined the greenback pushing the AUDUSD to gain traction for the 4th day in a row above the 0.7200 marks. The ongoing steep decline in the US Treasury bond yields continued exerting some pressure on the US dollar and expectation of a Biden win.

Key Levels
Resistance Levels: 0.7620, 0.7413, 0.7243
Support Levels: 0.7136, 0.7005, 0.6832
AUDUSD Long-term Trend: Bullish
The growing positive momentum on the daily chart is breaking through the 0.7243 resistance zone, and all being equal, the exchange rate may continue to surge during the next trading session. A potential target for the AUDUSD pair will be around 0.7300. However, the resistance cluster at 0.7350 could be a barrier for bull traders during this session.

Continuous trading back beneath the 5 and 13 moving average, which is now at 0.7100, would support the bearish sentiment and suggest that the bounce is over. The bias may shift to the 0.5506 low again. On the other hand, a break of the 0.7413 level would extend the gain from 0.5506 to 38.2% from 1.1079 (high) to 0.5506 (2020 low) at 0.7620.
AUDUSD Short term Trend: Ranging
The prior resistance from October highs, currently around 0.7243, limits short-term upside moves in AUDUSD, while bears are looking for a clear breach beneath the 0.7136 to attack the 0.7100 round number. The intraday bias for AUDUSD stays neutral for now.

On the other hand, a continuous breakout of the 0.7243 resistance level should validate the completion of the consolidation trend from the 0.7413 level. Intraday bias may be reversed if the 0.7413 high is retested first. On the other hand, a breach of the 0.7005 level may restart the correction to the 38.2% retracement from 0.5506 to 0.7413 at the 0.6684 levels.

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