- AUD/USD pares intraday losses at the highest levels in 12 days.
- Sluggish RSI, MACD signals also favor pullback moves targeting previous resistance from mid-December.
- 200-SMA adds to the downside filters, bulls need validation from previous monthly high to keep the reins.
AUD/USD retreats from the short-term key resistance during Monday’s Asian session as bulls take a breather after a three-day uptrend. In doing so, the Aussie pair steps back from a three-week-old horizontal resistance amid nearly overbought RSI and sluggish MACD signals.
It’s worth noting, however, that the previous week’s successful upside break of a descending trend line from November 13, close to 0.6780 by the press time, keeps the AUD/USD buyers hopeful.
Even if the quote breaks the 0.6780 support, the 200-HMA level surrounding 0.6725 acts as the last defense of the AUD/USD buyers before giving control to the Aussie pair sellers.
In that case, the Aussie pair bears could quickly aim for the previous monthly low near 0.6690.
On the contrary, a successful upside break of the three-week-old horizontal resistance area surrounding 0.6820-25 could propel the pair towards the previous monthly high surrounding 0.6895.
Following that, the pair’s successful trading beyond the 0.6900 round figure, as well as September’s high near 0.6920, becomes necessary for the AUD/USD bulls to aim for an August 2022 high of around 0.7135.
Overall, AUD/USD remains on the buyer’s radar but the upside room appears limited.
AUD/USD: Hourly chart
Trend: Pullback expected
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD recovers above 0.6750 after Australian jobs data
AUD/USD picks up a late bid and recovers above 0.6750 in Asian trading on Thursday, following the release of mixed Australian employment data. The extended post-Fed US Dollar recovery, amid a cautious market mood, could limit the pair's upside ahead of US data.
USD.JPY jumps toward 144.00 on the road to recovery
USD/JPY gains traction and approaches 144.00 in Thursday's Asian session. The uptick of the pair is bolstered by the impressive US Dollar recovery. Investors shift their attention to the US data and the Bank of Japan interest rate decision on Friday.
Gold price stalls post-FOMC pullback from all-time peak; lacks firm intraday direction
Gold price oscillates in a range on Thursday and consolidates the previous day's post-FOMC rejection slide from the $2,600 mark or a fresh record high. Persistent geopolitical risks, along with signs of economic trouble in the US and China, lend support to the safe-haven metal.
Ethereum attempts recovery following first rate cut in four years
Ethereum is trading above $2,330 on Wednesday as the market is recovering following the Federal Reserve's decision to cut interest rates by 50 basis points. Meanwhile, Ethereum exchange-traded funds recorded $15.1 million in outflows.
Australian Unemployment Rate expected to hold steady at 4.2% in August
The Australian Bureau of Statistics will release the monthly employment report at 1:30 GMT on Thursday. The country is expected to have added 25K new positions in August, while the Unemployment Rate is foreseen to remain steady at 4.2%.
Moneta Markets review 2024: All you need to know
VERIFIED In this review, the FXStreet team provides an independent and thorough analysis based on direct testing and real experiences with Moneta Markets – an excellent broker for novice to intermediate forex traders who want to broaden their knowledge base.