- AUD/USD is looking north with the 4H indicator reporting a bullish divergence.
- Signs of seller exhaustion have emerged on the daily chart in the form of Doji candle.
AUD/USD is currently trading at 0.6780, representing 0.26% gains on the day and could rise further toward the 10-day moving average (MA), currently at 0.6837 in the next 24 hours, as the 4-hour chart is reporting a bullish divergence of the relative strength index (RSI).
Further, the 14-day RSI is rising from oversold levels, indicating scope for a corrective bounce.
Also, the pair created a Doji candle with a long upper shadow yesterday, a sign the buyers are beginning to test sellers’ resolve or seller exhaustion.
On the downside, key support is located at 0.6753, which if violated, would weaken the prospects of a strong move above 0.68.
4-hour chart
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Daily chart
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Trend: Oversold bounce
Pivot points
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