During Monday’s trading session, the Australian Dollar depreciated about 33 base points against the US Dollar. The decline was stopped by a support level formed by the monthly S1 at 0.6848 during yesterday’s trading session.
The exchange rate was trading near the bottom border of a narrow descending channel pattern at 0.6840 and could be set for a breakout.
If the breakout occurs, the AUD/USD currency pair will continue to decline in the shorter term.
However, if the narrow descending channel holds, bullish traders could target a resistance level formed by the 50-hour SMA at 0.6870 within this session.
