AUD/USD Price Analysis: Bulls approach previous support above 0.6700
- AUD/USD refreshes intraday high during the first daily performance in three.
- Bullish MACD signals, multiple recoveries from 0.6670 keeps buyers hopeful.
- 200-SMA acts as an extra upside filter to cross for the bulls before highlighting the monthly peak.
AUD/USD picks up bids to refresh intraday high near 0.6720 during early Monday. In doing so, the Aussie pair prints the first daily gains in three while bouncing off the lowest levels in eight days.
Given the Aussie pair’s multiple failures to defend the bounce off the recent lows, AUD/USD is likely to remain bearish unless crossing the support-turned-resistance line from November 21, around 0.6725.
Even if the quote rises past 0.6725 hurdle, the 200-SMA level surrounding 0.6765 could challenge the Aussie pair’s further upside.
It’s worth noting, however, that the AUD/USD pair’s successful run-up beyond the 0.6765 resistance won’t hesitate to challenge the 0.6800 while targeting the monthly peak of 0.6895.
Alternatively, pullback moves may initially aim for the 61.8% Fibonacci retracement level of the AUD/USD pair’s November 21 to December 13 upside, near the 0.6700 round figure.
Following that, the recent swing lows of around 0.6670 could challenge the AUD/USD bears before giving them control.
In that case, the late November bottom surrounding 0.6585 will be crucial to watch as a break of which could push back the bulls for a longer time.
AUD/USD: Hourly 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.
