AUD/USD Price Analysis: Sellers on the move around mid-0.7300s
- AUD/USD fails to extend Friday’s recovery, refreshes intraday low.
- Inability to cross 0.7380-85 resistance confluence joins upbeat Momentum to keep sellers hopeful.
- Monthly support line on the bears’ radar, five-week-old horizontal resistance offers extra hurdle to the north.
AUD/USD takes offers around 0.7355, down 0.16% intraday, during Monday morning in Asia.
The Aussie pair defies the previous day’s recovery moves while declining back below the 0.7380-85 resistance convergence, comprising 21-day EMA and a monthly falling trend line.
Given the strong Momentum line backing the downside moves, AUD/USD sellers have higher hopes to extend the pair’s latest fall.
In doing so, an ascending support line from July 21, near 0.7320, gains immediate attention ahead of the 0.7300 threshold. However, July low, also the yearly bottom, near 0.7290-85 will be the key level to watch afterward.
Meanwhile, recovery moves need to stay beyond 0.7385 to regain the 0.7400 round figure. Though, AUD/USD bulls may remain skeptical unless witnessing a daily closing beyond 0.7410, encompassing an upper line of a horizontal area established since July 09.
Overall, AUD/USD remains in the bearish consolidation with China's data dump in focus.
Read: AUD/USD: Recovery remains capped below 0.7400, China data dump eyed
AUD/USD: Daily chart
Trend: Further weakness 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.
