AUDUSD has been moving sideways over the last week, consolidating within the 0.6367 support and the 0.6550 resistance. In trend indicators, the 20- and 50-day simple moving averages (SMAs) are heading south, confirming the long-term bearish outlook, while the MACD is holding above its trigger line in the negative region and the RSI is sloping up below the neutral threshold of 50.
A failure to overcome the 0.6550 resistance level could send the price down to the 29-month low of 0.6367. Lower, support could next be found around the 0.5505 barrier, registered in March 2020.
Alternatively, if 0.6550 proves easy to get through, the spotlight will turn to the 20-day SMA at 0.6605. On top of that, the bulls would need to clear the 0.6680 obstacle to push the rally towards the 50-day SMA at 0.6790.
In the short-term picture, AUDUSD is currently neutral after violating the 0.6680 level. Should the market continue the downward pattern, the outlook may worsen, posting a lower low.Â
