Technical Analysis – AUDUSD hovers marginally above 0.7300; weak momentum

AUDUSD stuck near the 20- and 40-day simple moving averages (SMAs) and above the 0.7300 round number.

The pullback from the 0.7480 high is painting a bearish picture with the technical indicators suggesting a bearish-to-neutral bias. The MACD is marginally standing below its trigger line and near the zero level, while the RSI is slipping in the negative region.

Should selling forces strengthen, the 0.7220 support would come under the spotlight. Moving lower, the nine-month low of 0.7103 could next add some footing, while a break lower would endorse the broader bearish outlook.

Alternatively, a close above the 40-day SMA at 0.7333 could take the market until the 0.7480-0.7500 area, brighten the bigger view, pushing the price towards the 200-day SMA around the 0.7615 resistance.

In brief, AUDUSD is facing a weakening bearish bias, where a drop below 0.7300 is expected to enhance selling interest.

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