- AUD/USD grinds higher while bracing for the biggest daily gains in a week.
- One-month-old symmetrical triangle restricts immediate moves amid price-positive oscillators.
- 100-EMA, weekly resistance line act as additional trading filters.
AUD/USD stays firmer around the intraday high of 0.6427 ahead of Wednesday’s European session. in doing so, the Aussie pair stretches the latest rebound from the 100-EMA towards the one-week-old resistance line.
Given the near-50 RSI (14) and an impending bull cross on the MACD, the AUD/USD recovery is likely to remain present. However, the monthly symmetrical triangle between 0.6345 and 0.6500 restricts the pair’s moves.
That said, a convergence of the weekly resistance line and 38.2% Fibonacci retracement of the pair’s September-October downside, near 0.6455, guards the quote’s immediate recovery.
It’s worth noting that the AUD/USD pair’s run-up beyond 0.6500 needs validation from the 50% Fibonacci retracement level surrounding 0.6545 to convince the bulls.
Following that, a run-up towards the latest September swing high near 0.6750 can be expected.
On the flip side, a clear break of the 100-EMA support, close to 0.6390 by the press time, could quickly direct the AUD/USD pair sellers towards the stated triangle’s support near 0.6345.
Should the bears dominate past 0.6345, the odds of witnessing a fresh yearly low, around 0.6170 at the latest, can’t be ruled out.
AUD/USD: Four-hour chart
Trend: Limited upside expected
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