AUD/USD Price Analysis: Aussie bulls brace for bumpy ride below 0.6685-90 key hurdle
- AUD/USD picks up bids to refresh intraday high, challenges one-week-old bearish channel.
- Bullish MACD signals, upbeat RSI (14) suggests further grinding of prices towards the north.
- Convergence of 100-SMA, 200-SMA prods the Aussie pair buyers.
AUD/USD renews intraday high near 0.6665 amid early Monday in Asia. In doing so, the Aussie pair buyers challenge a one-week-old descending trend channel.
That said, bullish MACD signals join the upward-sloping RSI (14) line to keep the AUD/USD buyers hopeful.
With this, the Aussie pair aims to cross the top line of the aforementioned bearish channel, close to 0.6670 by the press time.
Even so, a convergence of the 100-SMA and 200-SMA, around 0.6685-90, appears a tough nut to crack for the AUD/USD bulls to crack before taking control.
In a case where the Aussie bulls dominate past 0.6690, they need validation from the 0.6700 round figure ahead of targeting the monthly high of around 0.6820.
On the flip side, pullback moves may aim for the 0.6600 round figure before testing the aforementioned channel’s lower line, close to 0.6590 at the latest.
Following that, April’s low around 0.6570 and the yearly low marked in March near 0.6565 will be in the spotlight.
Overall, AUDUSD is likely to recover but the road towards the north appears long and bumpy.
AUD/USD: Four-hour chart
Trend: Limited upside expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
