Key Highlights
- AUD/USD traded below the 0.6500 support zone.
- A major bearish trend line is forming with resistance near 0.6495 on the 4-hour chart.
- EUR/USD is consolidating losses near the 1.0900 zone.
- GBP/USD might face resistance near 1.2770 and 1.2800.
AUD/USD Technical Analysis
The Aussie Dollar started a fresh decline from well above 0.6720 against the US Dollar. AUD/USD traded below the 0.6620 support to move into a bearish zone.
Looking at the 4-hour chart, the pair settled below the 0.6550 level, the 100 simple moving average (red, 4 hours), and the 200 simple moving average (green, 4 hours).
The pair also traded below the 1.2500 support zone and tested 0.6425. A low is formed near 0.6428 and the pair is now consolidating losses. On the upside, an initial resistance is near the 0.6475 level. The first major resistance is near 0.6500.
There is also a major bearish trend line forming with resistance near 0.6495 on the same chart. A close above the 0.6500 resistance could start a decent increase.
In the stated case, the pair could rise toward the 0.6550 level. Any more gains could start a fresh increase toward the 0.6620 level.
Initial support is near the 0.6425 level. The next major support is near 0.6400, below which AUD/USD could gain bearish momentum. In the stated case, the pair could test the 0.6325 support.
Looking at EUR/USD, the pair is showing bearish signs and is currently consolidating losses near the 1.0900 level.
Economic Releases
- Euro Zone Gross Domestic Product Q2 2023 (Preliminary) (QoQ) – Forecast 0.6%, versus 0.6% previous.
- FOMC Meeting Minutes.
