winyoung
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AUD/USD occupies the bear’s table as it drops for the third consecutive day to refresh a six-month low around 0.6530 during early Thursday.
In doing so, the Aussie pair justifies the previous day’s downside break of an 11-week-old support-turned-resistance, as well as a downside beak of the 61.8% Fibonacci retracement of the quote’s October 2022 to February 2023 upside, respectively near 0.6620 and 0.6550.
Not only the downside breaks of the previous key supports but the bearish MACD signals also weigh on the AUD/USD price.
However, the nearly oversold RSI (14) conditions suggest that the AUD/USD bears may take a breather at the 61.8% Fibonacci Extension (FE) of its February-May moves, near 0.6445.
In a case where the Aussie pair remains bearish past 0.6445, the November 11 low of 0.6385 will be in the spotlight.
Alternatively, the aforementioned Fibonacci retracement level and previous support line, close to 0.6550 and 0.6620 in that order, restrict the short-term recovery of the AUD/USD pair.
Though, AUD/USD bulls should remain cautious unless witnessing a clear break of the 0.6230 resistance confluence comprising the 10-DMA and a two-week-old descending trend line.
Overall, AUD/USD is likely to decline further but the room towards the south appears limited.
AUD/USD: Daily chart
In doing so, the Aussie pair justifies the previous day’s downside break of an 11-week-old support-turned-resistance, as well as a downside beak of the 61.8% Fibonacci retracement of the quote’s October 2022 to February 2023 upside, respectively near 0.6620 and 0.6550.
Not only the downside breaks of the previous key supports but the bearish MACD signals also weigh on the AUD/USD price.
However, the nearly oversold RSI (14) conditions suggest that the AUD/USD bears may take a breather at the 61.8% Fibonacci Extension (FE) of its February-May moves, near 0.6445.
In a case where the Aussie pair remains bearish past 0.6445, the November 11 low of 0.6385 will be in the spotlight.
Alternatively, the aforementioned Fibonacci retracement level and previous support line, close to 0.6550 and 0.6620 in that order, restrict the short-term recovery of the AUD/USD pair.
Though, AUD/USD bulls should remain cautious unless witnessing a clear break of the 0.6230 resistance confluence comprising the 10-DMA and a two-week-old descending trend line.
Overall, AUD/USD is likely to decline further but the room towards the south appears limited.
AUD/USD: Daily chart