AUD/USD Price Analysis: Extends pullback from 200-EMA towards 0.6560 support confluence

AUD/USD holds lower grounds around intraday low while snapping two-day uptrend.
RSI (14) line’s retreat from overbought territory joins U-turn from 200-EMA to lure Aussie sellers.
Convergence of 50-EMA, one-week-old horizontal support zone challenges intraday sellers.

Anil Panchal FXStreet

AUD/USD licks its wounds around the intraday low of 0.6595 while printing the first daily loss in three amid Monday’s mid-Asian session. In doing so, the Aussie pair keeps the previous day’s retreat from the 200-bar Exponential Moving Average (EMA).

Adding strength to the downside bias is the RSI (14) line’s U-turn from the overbought territory, as well as the receding bullish bias of the MACD indicator.

However, a convergence of the 50-EMA and multiple levels marked since May 24, around 0.6565-60, appears a tough nut to crack for the AUD/USD bears.

In a case where the Aussie pair drops below 0.6560, a quick drop towards another key horizontal support zone surrounding 0.6490, comprising levels marked in the last week, can’t be ruled out.

It’s worth observing though that the AUD/USD pair’s weakness past 0.6490 needs validation from the previous monthly low of around 0.6460 to keep the bears on board.

On the contrary, AUD/USD recovery remains elusive below the 200-EMA hurdle surrounding 0.6630.

Also acting as upside filters are 50% and 61.8% Fibonacci retracements of the pair’s May 10-31 downside, respectively near 0.6640 and 0.6680.

Overall, AUD/USD remains on the back foot but the downside room appears limited.

AUD/USD: Four-hour chart

Trend: Limited downside expected

Additional important levels

Overview
Today last price	0.6596
Today Daily Change	-0.0014
Today Daily Change %	-0.21%
Today daily open	0.661

Trends
Daily SMA20	0.6626
Daily SMA50	0.6664
Daily SMA100	0.6755
Daily SMA200	0.6695

Levels
Previous Daily High	0.6639
Previous Daily Low	0.6565
Previous Weekly High	0.6639
Previous Weekly Low	0.6458
Previous Monthly High	0.6818
Previous Monthly Low	0.6458
Daily Fibonacci 38.2%	0.6611
Daily Fibonacci 61.8%	0.6593
Daily Pivot Point S1	0.6571
Daily Pivot Point S2	0.6531
Daily Pivot Point S3	0.6497
Daily Pivot Point R1	0.6644
Daily Pivot Point R2	0.6678
Daily Pivot Point R3	0.6718

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.

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