- AUD/USD prints mild losses following the previous day’s decline.
- Bulls face rejection near the 0.7500 key psychological mark.
- The momentum oscillator throws caution on aggressive bids.
AUD/USD extends the previous day’s downside momentum and edges lower in the Asian trading session on Monday. The pair made a high of 0.7490 and retreated quickly to the low of 0.7476.
At the time of writing, AUD/USD is trading at 0.7480, down 0.05% for the day.
AUD/USD 4-hour chart
On the 4-hour chart, the AUD/USD pair has been facing stiff resistance near the descending trendline from the high in the vicinity of the 0.7600 area made on Wednesday.
The Moving Average Convergence Divergence (MACD) trades below the midline with a neutral stance. Any downtick in the MACD would intensify the selling pressure.
In doing so, the bears could capture the 0.7465 and the 0.7445 horizontal support levels.
Next, the low made on Friday at 0.7409 will be on the AUD/USD bears radar.
Alternatively, if price breaks the bearish slope line, then it could reverse the prevailing trend and move north.
The first target for bulls in line will be the 0.7500 key psychological mark.
A close above the 1.2500 would open the gates for the 0.7520 horizontal resistance level, followed by the high of Wednesday at 0.7535.