AUD/USD Price Analysis: Bears poke 0.6940 support with eyes on monthly low
- AUD/USD takes offers to renew intraday low, pares weekly gains.
- Short-term triangle restricts immediate downside below the key SMAs.
- Steady RSI, failures to cross moving averages keep bears hopeful.
AUD/USD holds lower ground near 0.6950, after refreshing daily lows with 0.6944, as traders jostle inside a short-term triangle during Wednesday’s Asian session.
In addition to the nearby triangle formation, steady RSI also challenges the AUD/USD pair’s immediate moves. However, failures to cross the 50-SMA and the 200-SMA join Thursday’s “death cross” to favor sellers.
That said, a clear downside break of the 0.6940 support appears necessary for the pair sellers to retake controls, after a two-day absence.
Following that, the 0.6900 round figure and the monthly low 0.6850 could gain the AUD/USD pair bear’s attention.
Meanwhile, the 50-SMA and upper line of the stated triangle, respectively around 0.6975 and 0.6985, precede the 0.7000 psychological magnet to challenge short-term AUD/USD buyers.
Even if the quote rises past 0.7000, the 200-SMA level of 0.7055 could probe the upside momentum.
It should be noted, however, that the Aussie pair’s ability to stay firmer past 0.7055 enables it to challenge the monthly peak of 0.7283.
AUD/USD: Four-hour chart
Trend: Further weakness 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.
