AUD/USD Price Analysis: Refreshes yearly lows as bears dominate below 0.7120

AUD/USD edges lower on Friday in the initial European trading hours.
More downside for pair if price decisively breaks 0.7120 level.
Oversold MACD implies a wait-and-watch approach before placing aggressive bids.

Rekha Chauhan Independent Analyst

AUD/USD continues to trade lower following the previous session’s sluggish momentum in the European trading hours. The pair opened higher albeit fizzles ou0t quickly to touch the intraday low of 0.7124.

At the time of writing, AUD/USD is trading at 0.7127, down 0.28% for the day.

AUD/USD daily chart

On the daily chart, the pair has been under constant selling pressure, after making the high of 0.7599 on July 6. The bearish slopping line acts as a barrier for the bulls.

A sustained move below intraday’s low could bring back levels last seen in November 2020 back in the picture. The first in line target would be November 4 low at 0.7048.

The Moving Average Convergence Divergence (MACD) indicator reads in the oversold zone. Any downtick in the MACD would amplify the selling toward the psychological 0.7000 mark.

Alternatively, if price moves higher then it could test the 0.7190 and the 0.7230 horizontal resistance levels.

Next, the market participants would aim for the August 18 high at 0.72771.

AUD/USD additional levels

AUD/USD

Overview
Today last price	0.7124
Today Daily Change	-0.0024
Today Daily Change %	-0.34
Today daily open	0.7148

Trends
Daily SMA20	0.7343
Daily SMA50	0.7442
Daily SMA100	0.7587
Daily SMA200	0.7611

Levels
Previous Daily High	0.725
Previous Daily Low	0.7141
Previous Weekly High	0.739
Previous Weekly Low	0.7315
Previous Monthly High	0.7599
Previous Monthly Low	0.7288
Daily Fibonacci 38.2%	0.7183
Daily Fibonacci 61.8%	0.7209
Daily Pivot Point S1	0.711
Daily Pivot Point S2	0.7071
Daily Pivot Point S3	0.7001
Daily Pivot Point R1	0.7218
Daily Pivot Point R2	0.7289
Daily Pivot Point R3	0.7327

Author

Rekha Chauhan

Independent Analyst

Rekha Chauhan has been working as a content writer and research analyst in the forex and equity market domain for over two years.

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