Starting from mid-Monday up to the start of Tuesday’s European trading hours, the AUD/USD pair has been trading almost flat between the 0.7100 and 0.7120 levels. However, on Tuesday morning, the pair was approached by the resistance of the 50-hour simple moving average.
If the 50-hour simple moving average provides enough resistance for a decline, the rate would most likely look for support in the 0.7100 level. Further below, note the early Monday low level zone at 0.7080/0.7085 and the weekly S1 simple pivot point at 0.7070.
Meanwhile, a surge above the 50-hour SMA is most likely going to reach for the combined resistance of the 200-hour SMA and the weekly simple pivot point at 0.7142/0.7147. Above the two technical levels, there is no resistance as high as the 0.7200 mark and the weekly R1 simple pivot point at 0.7204.
