The bearish price trend on the chart of the AUD/USD currency pair stopped for a moment yesterday when the price was seen starting to show signs of a change in direction.
This is due to the strengthening of the US dollar which failed to continue when the king of the currency displayed a dismal performance that fell short of expectations after the guidance delivered by the Chairman of the Federal Reserve (Fed) Jerome Powell.
Analysts assess that there is a price correction for US dollar trading and investors need to be wary of the uncertain movement towards trading towards the end of the week.
Following the decline of the US dollar, the Aussie dollar is breathing a little again after continuing to fall since last week.
However, the increase was somewhat limited following the Australian employment report published in the Asian session this morning was less encouraging.
Although the unemployment rate fell to 3.8%, the economy recorded a job loss of around 6,600 in March compared to a jump in the previous month's increase.
Observed on the AUD/USD chart, the price showed a moderate price increase since yesterday after earlier in the week it reached the lowest level around 0.63900.
Signals a trend change when the rise has started to cross the Moving Average 50 (MA50) barrier on the 1-hour time frame on the AUD/USD chart.
The rise still continues until this morning's Asian session, seeing the price test the 0.64500 zone as a small resistance to be overcome.
A higher increase will be expected in the following sessions with the focus being on the 0.65000 level to be tested.
However, if the price retreats back below the MA50 line, it will signal the risk of a further fall in price.
The level around 0.63700 is among the support that will be the target to be tested and passed before the price resumes the previous bearish trend.
