AUD/USD Price Analysis: Pokes monthly resistance on the way to 0.7290
- AUD/USD remains firmer after refreshing five-week high, picks up bids of late.
- Bull cross, firmer RSI favor buyers to surpass immediate resistance line.
- Weekly horizontal support restricts short-term downside.
AUD/USD rises to 0.7260, up 0.08% intraday while staying near the highest levels since November 22. In doing so, the Aussie pair justifies a bull cross portrayed on Tuesday, as well as a firmer RSI line during Thursday’s Asian session.
However, an upward sloping trend line from November 30 acts as an extra upside filter around 0.7270 to challenge the Aussie pair’s short-term advances.
Following that, the 78.6% Fibonacci retracement (Fibo.) level of November 15 to December 03 downside, around 0.7290, will be on focus.
On the contrary, a one-week-old horizontal support line restricts short-term AUD/USD downside around 0.7200, a break of which will aim for 50-SMA and 200-SMA, respectively near 0.7195 and 0.7175.
In a case where the AUD/USD drops below 0.7175, it becomes vulnerable to test the last weekly low surrounding 0.7080.
AUD/USD: Four-hour chart
Trend: Further 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.
