The change in price direction started to show on the chart of the AUD/USD currency pair in the Asian session this morning (Tuesday) after the flat price movement at the opening of the week yesterday.
The Australian dollar began to weaken after the market examined the published minutes of the Australian central bank meeting.
Previously, several weeks investors were presented with upward movement in prices since the end of May which was supported by a surprising interest rate hike by the Reserve Bank of Australia (RBA) at the meeting in early June.
In addition, also supporting the rising pattern when the US dollar also traded weakly until the end of last week's FOMC meeting with the Federal Reserve (Fed) finally stopped interest rate hikes.
RBA Governor Philip Lowe stated that the central bank's policy decisions will be influenced by the latest published data.
At the end of last week, the bullish price reached a new high testing the resistance level at 0.69000.
However, the price started to flatten below the zone continuing the opening of trading earlier in the week yesterday.
The price has also started to move below the Moving Average 50 (MA50) barrier level on the 1-hour time frame on the AUD/USD chart making investors ready for the signal of a trend change.
Slowly around 0.68500, the price finally made a drop this morning to the 0.68000 level indicating a change in direction has begun and is seen to test the 0.67600 zone.
Next, the price will continue to decline towards the RBS zone (resistance becomes support) at 0.67000.
Meanwhile, if the price bounces back to make an increase again, the price needs to break through the MA50 barrier for a signal to resume the previous bullish movement.
The continued rise will try to break the resistance level of 0.69000 before recording the latest high with a target shift at the height of 0.70000.
