AUD/USD Price Analysis: Bears approach 0.7270 short-term key support
- AUD/USD remains pressured around intraday low after printing the first negative weekly closing in six.
- Clear downside break of fortnight-long rising trend line joins bearish MACD signals to favor sellers.
- 100-SMA, 50% Fibonacci retracement level limits immediate downside.
- Weekly resistance line holds the gate for bull’s welcome.
AUD/USD sellers keep reins around 0.7275 during Monday’s Asian session, following the first negative weekly closing in six.
In doing so, the Aussie pair justifies Friday’s downside break of a two-week-long rising trend line amid bearish MACD signals.
However, a convergence of the 100-SMA and 50% Fibonacci retracement (Fibo.) of the pair’s late February to early March moves offer a tough nut to crack for the AUD/USD sellers around 0.7270.
Should the quote drops below 0.7270, the quote may drop further towards 0.7245 and 61.8% Fibo. level near 0.7225 before targeting the 200-SMA, around 0.7195 by the press time.
Alternatively, the support-turned-resistance line close to 0.7310 challenges the AUD/USD pair’s intraday buyers ahead of the 50-SMA, around 0.7325 at the latest.
Following that, a downward sloping trend line from March 07, near 0.7340, will be crucial for the buyer’s dominance.
AUD/USD: Four-hour chart
Trend: Corrective pullback 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.
