Technical Analysis: AUDUSD crosses seven-week-old resistance line

Technical Analysis: AUDUSD crosses seven-week-old resistance line

Having breached a downward sloping trend line resistance from late February, AUDUSD takes the bids near the one-week top. Given the strong RSI and upbeat MACD, the Aussie pair is likely to stay on the front foot towards the 200-SMA level of 0.7685. However, any further upside beyond the stated key SMA needs to cross the mid-March lows surrounding 0.7710 before confirming a run-up to a broad horizontal resistance area established since March 02.

During the pullback, the resistance-turned-support line around 0.7640 tests intraday sellers ahead of 0.7580 and the monthly low near 0.7530. Although AUD/USD is likely to witness a corrective bounce off 0.7530 any failures could land it to the late December 2020 low near 0.7460. Overall, AUDUSD is ready to recall the bulls.

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