AUD/USD Price Analysis: Mildly bid inside bear flag, 0.7005 is the key

AUD/USD consolidates recent losses inside bearish chart pattern.
Monthly resistance line, 200-SMA also challenge bulls, RSI hints at further grinding towards the south.
November 2020 low acts as extra support before theoretical target near 0.6825.

Anil Panchal FXStreet

AUD/USD struggles to extend corrective pullback from yearly low, retreats to 0.7015 heading into Monday’s European session. The Aussie pair portrays a short-term bearish chart pattern, called bear flag, on the 30-minute play, up 0.17% intraday at the latest.

It should be noted, however, that the RSI line hints at further consolidation of the prices before confirming the formation with a downside break of 0.7005 support.

Also adding to the downside filter is the November 2020 low near 0.6990.

If the quote drops below 0.6990, it becomes vulnerable, at least theoretically, to aim for the 0.6825 support level.

Meanwhile, recovery moves remain elusive below the upper line of the stated flag, near 0.7035 at the latest.

Additionally challenging AUD/USD buyers is a downward sloping trend line from December 01 and 200-DMA, respectively near 0.7050 and 0.7100.

AUD/USD: 30-minute chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	0.7015
Today Daily Change	0.0011
Today Daily Change %	0.16%
Today daily open	0.7004

Trends
Daily SMA20	0.723
Daily SMA50	0.7325
Daily SMA100	0.7326
Daily SMA200	0.75

Levels
Previous Daily High	0.7102
Previous Daily Low	0.6993
Previous Weekly High	0.7174
Previous Weekly Low	0.6993
Previous Monthly High	0.7537
Previous Monthly Low	0.7063
Daily Fibonacci 38.2%	0.7035
Daily Fibonacci 61.8%	0.706
Daily Pivot Point S1	0.6964
Daily Pivot Point S2	0.6924
Daily Pivot Point S3	0.6855
Daily Pivot Point R1	0.7073
Daily Pivot Point R2	0.7142
Daily Pivot Point R3	0.7182

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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