Technical Analysis: AUDUSD teases weekly support line inside short-term falling channel

Technical Analysis: AUDUSD teases weekly support line inside short-term falling channel

With the virus-led risk-off weighing on the Antipodeans, not to forget the surprise drop in the Aussie retail sales, AUDUSD sellers attack an upwards sloping support line from Monday, currently around 0.7733. While expectations of the continuous cautious sentiment favor the pair’s further weakness, the 0.7700 round-figure and lower line of a descending trend channel formation established since January 06, near 0.7650, probe the AUDUSD bears. In a case where the quote remains weak past-0.7650, the 200-SMA level of 0.7630 will be the key to watch.

Meanwhile, an upside clearance of the stated channel’s resistance line, at 0.7780, needs to refresh the monthly top of 0.7819 to regain the AUDUSD bulls’ confidence. Following that, AUDUSD buyers will get a green signal to challenge the March 2018 peak surrounding 0.7915. It should also be noted that the 0.8000 psychological magnet will gain the market’s attention once the pair rises beyond 0.7915.

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