AUD/USD Price Analysis: Short-term inverse head-and-shoulders in focus ahead of RBA

AUD/USD recedes from intraday high while teasing a bullish chart formation.
200-bar SMA adds to the upside barrier, 0.7065/60 can offer strong downside support.
RBA is expected to stand pat while citing coronavirus (COVID-19) worries.

Anil Panchal FXStreet

AUD/USD eases to 0.7123 while stepping back from day’s top during the early Tuesday. In doing so, the pair seesaws around the neckline of a short-term head-and-shoulders bullish pattern ahead of the key RBA monetary policy meeting.

Read: When is the RBA Interest Rate Decision and how could it affect AUD/USD?

Considering the pair’s failure to stay positive beyond 0.7200, coupled with anticipated dovish halt by the RBA, the quote may refrain from confirming the mentioned chart formation.

Even if 0.7100 is likely immediate support for the pair traders to watch, sellers should remain cautious unless the quote slips below 0.7065/60 support-zone, comprising June 10 high and July 24 low.

Alternatively, a sustained rise past-0.7125 will have to cross 200-bar SMA level of 0.7156 to challenge the July month’s top, also the highest since early-2019, near 0.7230.

AUD/USD 30-minutes chart

Trend: Pullback expected

Additional important levels

Overview
Today last price	0.7127
Today Daily Change	4 pips
Today Daily Change %	0.06%
Today daily open	0.7123

Trends
Daily SMA20	0.7059
Daily SMA50	0.6947
Daily SMA100	0.6621
Daily SMA200	0.67

Levels
Previous Daily High	0.715
Previous Daily Low	0.7076
Previous Weekly High	0.7228
Previous Weekly Low	0.7087
Previous Monthly High	0.7228
Previous Monthly Low	0.6876
Daily Fibonacci 38.2%	0.7104
Daily Fibonacci 61.8%	0.7122
Daily Pivot Point S1	0.7082
Daily Pivot Point S2	0.7042
Daily Pivot Point S3	0.7008
Daily Pivot Point R1	0.7157
Daily Pivot Point R2	0.7191
Daily Pivot Point R3	0.7231

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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