AUDUSD Stays Mixed in a Tight Range Ahead of US Fundamentals

AUDUSD Price Analysis – April 22

Although gliding into a sideways market within the 0.7700 range, the AUDUSD clings to former trading zones aimlessly. Later in the session, the weekly Initial Jobless Claims report from the US Department of Labor will be scrutinized for additional catalysts.

Key Levels
Resistance Levels: 0.8000, 0.7850, 0.7800
Support Levels: 0.7700, 0.7650, 0.7600
AUDUSD Long term Trend: Ranging
Swings in US equities continue to influence the AUDUSD, which is heavily influenced by political news. The 0.7700 area establishes a challenging ranging zone for the Australian dollar. After annihilating this, the nearby horizontal barrier of 0.7800 may limit the AUDUSD advance to the high level of 0.7850 before confronting the multi-month high of 0.8000.

Although the recovery from the 0.5506 level was remarkable, the AUDUSD pair still requires sufficient evidence to support the bullish trend reversal. That is, it may just be a correction within the long-term upward trend, with the focus shifting back to the low 0.5506 marks in the long term.
AUDUSD Short term Trend: Ranging
Today, the Australian dollar continues to range after holding a slight support level of 0.7725. For starters, intraday bias remains neutral. The recovery from the 0.7531 level could resume on the upside, breaking through the 0.7800 resistance level. This would also bring the 0.7725/770 levels correction to a close.

In this case, a further rally could lead to a retest of the 0.8000 peaks. On the downside, however, a firm breach of the 0.7700 level could signal a resumption of the correction from the 0.8000 level. Intraday bias will turn back to the downside at 0.7531, followed by a 38.2 percent retracement from 0.5506 to 0.8000 at 0.7734.

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