AUD/USD analysis: increasingly bearish in the short-term
|AUD/USD Current price: 0.7377
- AUD/USD stuck to 0.7800 waiting for tariffs' announcements.
- Australian AIG Performance of Construction Index for June up next.
The AUD/USD pair spent the day consolidating around its opening level, with a short-lived intraday spike up to 0.7407 early US session, being quickly reverted to its recent comfort zone around the 0.7380 level. The pair eased a few pips with the release of FOMC Meeting's Minutes but solid gains in Wall Street limit the decline. Australia will release its AIG Performance of Construction Index for June during the upcoming Asian session, latest seen at 54. Traders will likely wait for news on tariffs, as the US set to impose tariffs on $34 billion worth of goods from China, while Beijing has already announced it will retaliate. Should tariffs become into effect as expected, equities could enter in sell-off mode, dragging the AUD lower alongside. The pair presents an increasingly bearish technical stance according to the 4 hours chart, as the early advance was rejected by a bearish 100 SMA, with the pair now pressuring a horizontal 20 SMA and technical indicators heading lower, entering bearish territory. The decline will likely accelerate on a break below 0.7345, the immediate support, while the upside will look more constructive only on an upward extension above 0.7440.
Support levels: 0.7345 0.7310 0.7275
Resistance levels: 0.7410 0.7440 0.7480
View Live Chart for the AUD/USD
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