AUD/USD slides further below 0.7300 mark, lowest since November 2020

AUD/USD witnessed some follow-through selling for the second consecutive session on Tuesday.
The risk-off impulse benefitted the safe-haven USD and weighed on the perceived riskier aussie.
Investors now look forward to US Retail Sales and Fed Chair Powell’s speech for a fresh impetus.

Haresh Menghani FXStreet

The AUD/USD pair lost some additional ground heading into the European session and tumbled to the lowest level since November 2020, around the 0.7280 region in the last hour.

The pair added to the overnight losses and witnessed heavy selling through the early part of the trading action on Tuesday. The risk-off impulse in the markets drove some haven flows towards the US dollar, which, in turn, was seen as a key factor that dragged the AUD/USD pair lower for the second successive day.

Disappointing Chinese macro data on Monday added to worries about the potential economic fallout from the fast-spreading Delta variant of the COVID-19. This, along with political tension in Afghanistan, took its toll on the global risk sentiment and weighed on perceived riskier currencies, including the Australian dollar.

The aussie bulls failed to gain any respite from Tuesday's release of balanced RBA monetary policy meeting minutes. The market focus now shifts to the monthly Retail Sales figures, due later during the early North American session. Apart from this, Fed Chair Jerome Powell's speech might provide some impetus to the AUD/USD pair.

Nevertheless, the latest leg down now seems to have validated a bearish break below support marked by the lower boundary of a trading range held over the past one week or so. A subsequent fall below the previous YTD lows now seems to set the stage for a further near-term depreciating move for the AUD/USD pair.

Technical levels to watch

AUD/USD

Overview
Today last price	0.729
Today Daily Change	-0.0047
Today Daily Change %	-0.64
Today daily open	0.7337

Trends
Daily SMA20	0.7365
Daily SMA50	0.7474
Daily SMA100	0.7599
Daily SMA200	0.7611

Levels
Previous Daily High	0.7373
Previous Daily Low	0.7318
Previous Weekly High	0.739
Previous Weekly Low	0.7315
Previous Monthly High	0.7599
Previous Monthly Low	0.7288
Daily Fibonacci 38.2%	0.7339
Daily Fibonacci 61.8%	0.7352
Daily Pivot Point S1	0.7313
Daily Pivot Point S2	0.7288
Daily Pivot Point S3	0.7258
Daily Pivot Point R1	0.7367
Daily Pivot Point R2	0.7398
Daily Pivot Point R3	0.7422

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

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