AUD/USD Price Analysis: 0.6800 remains critical for the Australian Dollar

AUD/USD has sensed a minor correction after a perpendicular recovery from 0.6720.
An improvement in investors’ risk appetite has underpinned the Australian Dollar.
The Aussie asset needs to surpass 0.6800 for an upside move ahead.

Sagar Dua FXStreet

The AUD/USD pair has sensed a minor correction in the early Tokyo session after a perpendicular recovery from 0.6720. The Aussie asset is likely to extend its recovery to near the round-level resistance of 0.6800 as the risk appetite of the market participants has improved dramatically.

A stellar recovery in the S&P500 on Thursday as investors rushed for dip buying after a two-day sell-off underpinned risk-off mood. The US Dollar Index (DXY) dropped to near the lower end of the weekly trading range around 103.60.

On a four-hour scale, the Aussie asset is auctioning in a Rising Channel chart pattern, which is highly neutral as it has formed after a sell-off move from December 13 high around 0.6900. The round-level resistance of 0.6800 has remained a critical barrier for the Australian Dollar for the past 15 trading sessions.

A recovery move in the Aussie asset has pushed it above the 20-period Exponential Moving Average (EMA) around 0.6747. Also, the 200-EMA at 0.6700 is still solid, which indicates that the long-term trend is still bullish.

The Relative Strength Index (RSI) (14) is struggling to shift into the bullish range of 60.00-80.00. An occurrence of the same will trigger bullish momentum.

For an upside move, the Australian Dollar needs to surpass Wednesday’s high around 0.6800, while will drive the Aussie asset towards December 13 high around 0.6880 followed by the psychological resistance at 0.7000.

On the contrary, a breakdown of December 27 low at 0.6719 will drag the major towards December 15 low around 0.6677. A slippage below the latter will expose the asset for more downside toward December 20 low at 0.6629.

AUD/USD four-hour chart

AUD/USD

Overview
Today last price	0.6778
Today Daily Change	0.0044
Today Daily Change %	0.65
Today daily open	0.6734

Trends
Daily SMA20	0.6739
Daily SMA50	0.6627
Daily SMA100	0.6649
Daily SMA200	0.687

Levels
Previous Daily High	0.6801
Previous Daily Low	0.6719
Previous Weekly High	0.6767
Previous Weekly Low	0.6629
Previous Monthly High	0.6801
Previous Monthly Low	0.6272
Daily Fibonacci 38.2%	0.677
Daily Fibonacci 61.8%	0.6751
Daily Pivot Point S1	0.6702
Daily Pivot Point S2	0.667
Daily Pivot Point S3	0.662
Daily Pivot Point R1	0.6784
Daily Pivot Point R2	0.6833
Daily Pivot Point R3	0.6865

Author

Sagar Dua

FXStreet

Sagar Dua is associated with the financial markets from his college days. Along with pursuing post-graduation in Commerce in 2014, he started his markets training with chart analysis.

GBP/USD remains offered; bears target 1.3600

GBP/USD now leaves behind part of its recent recovery and revisits the low 1.3600s at the beginning of the week. Indeed, Cable trades with a mild downward bias amid decent gains in the Greenback as investors remain wary of upcoming US data releases and the Jackson Hole event.

EUR/USD remains sidelined above 1.1650

EUR/USD trades on the defensive following the closing bell on Wall Street on Monday, hovering around the 1.1660 region and adding to Friday’s small decline. The pair’s pullback comes in response to an acceptable rebound in the US Dollar in a context of generalised caution ahead of key US data releases and Chair Warsh’s speech in Jackson Hole.

Gold poised to extend its bullish run

Gold surrenders part of its initial advance, although it keeps its bullish pace well and sound above the $4,600 mark per troy ounce on Monday. The precious metal’s move higher comes despite slight gains in the US Dollar and a modest pullback in US Treasury yields across the curve.

XRP surged 72%, but is the rally really about XRP?

Ripple (XRP) surged more than 72% in less than a week, its strongest rally since July 2025, as cryptocurrency prices broadly broke out. But the move has a problem: it may have little to do with XRP itself. The token's near-term rally appears to have been driven largely by a broader liquidity shift after the US Treasury expanded long-end bond buybacks, pulling yields lower and lifting risk assets.

Convulsion in credit markets

The United States government just posted a $432.3 billion deficit for July, the largest monthly shortfall since March of 2021. That single burst of red ink pushed the yeartodate deficit to $1.8 trillion, with two months still remaining in fiscal 2026. At this pace, Washington will soon wax nostalgic for the “good old days” when annual deficits were only $2 trillion.

$20 billion offered, $2 billion taken: Why Treasury doubled its buyback cap

The US Treasury moved off its own calendar on Wednesday, and that is the part worth sitting with. At 12:32 GMT, the department said it would at least double the size of liquidity support buyback operations in the 10-year to 20-year and 20-year to 30-year sectors, lifting the maximum from $2 billion per operation to at least $4 billion, effective September 9 and running to November 4.