AUD/USD Price Analysis: Recovery moves have fewer hurdles below 0.7040
|- AUD/USD buyers keep reins around intraday high, up for the second consecutive day.
- RSI, MACD favor the bounce off previous resistance line from April.
- Convergence of 100-day EMA, 15-week-old descending trend line appears a tough nut to crack for the bulls.
AUD/USD grinds higher around the intraday top near 0.6965 as bulls keep control during early Thursday morning in Europe. In doing so, the Aussie pair extends the previous day’s rebound from the four-month-long resistance-turned-support line.
Given the firmer RSI and bullish MACD signals backing the latest rebound, the AUD/USD prices are likely to remain firmer.
However, the 100-day EMA and downward sloping resistance line from April 20 will challenge the buyers around 0.7040. It’s worth mentioning that the 0.7000 can act as an immediate hurdle.
Should the pair manage to provide a daily closing beyond 0.7040, a run-up towards June’s peak of 0.7283 can’t be ruled out.
Meanwhile, pullback remains elusive beyond the previous resistance line near 6880.
Following that, the lows marked during June and May, respectively around 0.6850 and 0.6830, will challenge the bears.
If the AUD/USD prices remain weak past 0.6830, the odds of witnessing a fresh yearly low, currently around 0.6680, appears too high.
AUD/USD: Daily chart
Trend: Further upside expected
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