AUD/USD Trims Gains, Will Bears Take Full Control?Market Analysis: AUD/USD Trims Gains, Will Bears Take Full Control?
AUD/USD failed to stay in a positive zone and declined below 0.6650.
Important Takeaways for AUD/USD Analysis Today
- The Aussie Dollar started a fresh decline from well above 0.6680 against the US Dollar.
- There is a connecting bearish trend line forming with resistance at 0.6610 on the hourly chart of AUD/USD.
AUD/USD Technical Analysis
On the hourly chart of AUD/USD, the pair struggled to clear 0.6700. The Aussie Dollar started a fresh decline below 0.6650 against the US Dollar.
The pair even settled below 0.6620 and the 50-hour simple moving average. There was a clear move below 0.6600. A low was formed at 0.6581 and the pair is now consolidating losses below the 23.6% Fib retracement level of the downward move from the 0.6706 swing high to the 0.6581 low.
On the upside, immediate resistance is near a connecting bearish trend line at 0.6610 and the 50-hour simple moving average. The next major hurdle for the bulls could be near 0.6645 and the 50% Fib retracement.
The main selling point could be 0.6660, above which the price could rise toward 0.6690. Any more gains might send the pair toward 0.6700. A close above 0.6700 could start another steady increase in the near term. In the stated case, the next key resistance on the AUD/USD chart could be 0.6750.
On the downside, initial support is near 0.6580. The next area of interest might be 0.6550. If there is a downside break below 0.6550, the pair could extend its decline. The next target for the bears might be 0.6500. Any more losses might send the pair toward 0.6420.
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