- AUD/USD seesaws round five-month excessive as bulls take a breather after four-day uptrend.
- Greater highs on RSI (14) distinction with the decrease excessive on costs to probe the bullish pattern.
- Overbought RSI situations, seven-month-old horizontal hurdle additionally problem patrons.
- 61.8% Fibonacci retracement, earlier weekly excessive limit rapid draw back.
AUD/USD pauses the four-day uptrend across the highest degree since August 2022 because it makes rounds to 0.7100 throughout Thursday’s sluggish Asian session. Even so, the Aussie pair braces for the largest weekly positive factors since early November.
The quote rose to the multi-month excessive on crossing the 61.8% Fibonacci retracement degree of its April-October 2022 draw back. Nevertheless, the overbought RSI (14) appears to probe the patrons afterward.
Additionally difficult the upside bias is the hidden bearish RSI divergence, a situation the place the value prints decrease highs however the indicator prints increased highs.
In consequence, the AUD/USD bulls ought to look ahead to a affirmation of the most recent bullish pattern. In doing so, the horizontal space comprising a number of highs marked since June 2022, close to 0.7140 would be the key to look at.
Following that, a run-up in direction of the June 2022 excessive close to 0.7285 could be anticipated. It’s value noting that the 0.7200 spherical determine might act as an intermediate halt in the course of the probably run-up.
Alternatively, pullback strikes want to beat the 61.8% Fibonacci retracement degree, also called the ‘golden ratio’, round 0.7090, to tease the AUD/USD bears.
Even so, the earlier weekly excessive close to 0.7065, may act as the extra draw back filter earlier than convincing the sellers to assault the 0.7000 psychological magnet.
AUD/USD: Every day chart
Pattern: Pullback anticipated
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