AUDUSD Volatility Increased Below 0.7780 Event Area – What Next?


AUDUSD has become corrective and currently residing inside the ranges of 0.7780 to 0.7700 area. AUDUSD volatility increased below 0.7780 psychological event area. What is next? Bears to regain momentum in the coming days? What are the charts and technical indicators are saying? Read more to find further insights into today’s AUD/USD Technical Analysis.

April 26, 2021, | AtoZ Markets – AUDUSD is currently trading around 0.7765 area and trying to push downside. After bouncing from 0.7700 to 0.7710 support level, the bulls pushed the price upward quite impulsively, but failed to sustain the bullish pressure over 0.7770 to 0.7780 resistance level. As per the current price action, the price may retrace downward towards the dynamic level on the intraday chart in the coming days.

AUDUSD Volatility Increased as the Bulls Are Trying to Regain Momentum

AUDUSD is currently residing near 0.7765 area and trying to push lower. However, the price also found support at the dynamic level of 20 EMA on the daily chart.

AUDUSD Volatility Increased

Image: AUDUSD 4 Hour Chart 

According to the 4-hour chart, AUDUSD volatility increased and currently trading around 0.7765 area. As per the current price action, if the price can have an impulsive 4-hour bearish candle close below 0.7780 to 0.7770 area, the bears may regain momentum and push the price down towards 0.7710 to 0.7700 area in the process. On the contrary, if the price can break over 0.7770 to 0.7780 area with an impulsive bullish candle, the bulls may sustain the bullish pressure towards 0.7830 to 0.7840 area in the days ahead.

In addition, the dynamic level of 20 EMA is currently residing below the price. So, it may work as strong support to push the price upside. Also, the Stochastic Oscillator lines are currently residing above the overbought level 80 and may have a bearish crossover. It indicates that the bears may regain momentum in the coming days.

AUDUSD May Strike Upward

According to the daily chart, AUDUSD volatility increased as the price residing inside the range. As per the current scenario, if the price can break above 0.7770 to 0.7780 area with a daily bullish candle, the bulls may continue the bullish pressure towards 0.7980 to 0.8000 key area in the days ahead. On the other hand, if the price rejects 0.7780 to 0.7770 area and breaks below 0.7710 to 0.7700 area with an impulsive bearish candle, the bears may regain momentum and push the price down towards 0.7580 to 0.7550 area in the process.

AUDUSD Volatility Increased

Image: AUDUSD Daily Chart

Furthermore, the dynamic level of 20 EMA is currently residing below the price. Along with the Kijun line and the Tenkan line. So, the dynamic level may act as a strong support to push the price higher. Besides, the Kijun line and the Tenkan line may work as a confluence of the dynamic level in the coming days. However, the Kumo Cloud is still residing over the price, which may hold the price as strong resistance in the days ahead.

To conclude, as long as the price residing over 0.7700 to 0.7710 area, there is a high chance that the bulls may continue the bullish pressure further. An impulsive breakout is needed to identify the definite momentum in the coming days. 

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