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AUD/USD Price Forecast: Dips below 0.7000, nearing 11-week lows

  • AUD/USD depreciates for the fifth day in a row and hits session lows below 0.7000.
  • Investors remain cautious amid contrasting reports from the US-Iran peace talks.
  • Bears remain in charge with the 11-week low at 0.6979 in focus.

The Australian Dollar (AUD) extends losses against the US Dollar (USD) for the fifth consecutive day on Monday, trading just below the psychological 0.7000 level and drifting towards the 11-week low of 0.6979.

The risk-sensitive Aussie remains under pressure as investors ponder the advances reported by mediators in the US-Iran talks. Both parties have committed to ending hostilities on all fronts and reopening the Strait of Hormuz, but comments from US President Donald Trump threatening to “take over” Iran shook the negotiations on Sunday.

Last week, the US Federal Reserve (Fed) delivered a “hawkish hold,” which prompted investors to ramp up hopes of rate hikes in the second half of the year and boosted the Greenback across the board. The Reserve Bank of Australia hit the pause button after three consecutive rate hikes this year, but left the door open for further tightening, which is keeping the Aussie from depreciating further.

Technical Analysis: Key support is at 0.6970

Chart Analysis AUD/USD

AUD/USD trades at 0.6996, holding a mildly bearish tone after slipping below the 0.7000 psychological level. Momentum indicators in the 4-hour chart endorse that view with the Relative Strength Index (RSI) around 38, keeping pressure tilted lower, and the Moving Average Convergence Divergence (MACD) languishing in negative territory.

Bears are focusing on June's bottom at 0.6979. A confirmation below here would boost negative pressure and bring the April 7 low, at the 0.6900 area, into focus.

On the topside, initial resistance is seen at the June 18 high, near 0.7040, ahead of a previous support-turned-resistance at the 0.7090 area (May 19 low, June 15 high).

(The technical analysis of this story was written with the help of an AI tool.)

Australian Dollar Price Today

The table below shows the percentage change of Australian Dollar (AUD) against listed major currencies today. Australian Dollar was the strongest against the Japanese Yen.

USDEURGBPJPYCADAUDNZDCHF
USD0.19%0.22%0.29%0.17%0.18%0.25%0.09%
EUR-0.19%0.04%0.11%-0.03%0.03%0.08%-0.09%
GBP-0.22%-0.04%0.06%-0.04%-0.02%0.04%-0.12%
JPY-0.29%-0.11%-0.06%-0.11%-0.10%-0.05%-0.18%
CAD-0.17%0.03%0.04%0.11%0.00%0.05%-0.06%
AUD-0.18%-0.03%0.02%0.10%-0.00%0.08%-0.08%
NZD-0.25%-0.08%-0.04%0.05%-0.05%-0.08%-0.14%
CHF-0.09%0.09%0.12%0.18%0.06%0.08%0.14%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Australian Dollar from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent AUD (base)/USD (quote).

Author

Guillermo Alcala

Graduated in Communication Sciences at the Universidad del Pais Vasco and Universiteit van Amsterdam, Guillermo has been working as financial news editor and copywriter in diverse Forex-related firms, like FXStreet and Kantox.

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