- AUD/USD drops for the second day in a row.
- 61.8% Fibonacci retracement, 21-day SMA gains the sellers’ attention.
- Buyers are less likely to enter unless refreshing the monthly top.
With the risk aversion in full in steam, AUD/USD drops below 0.6300, down 0.61% on a day to 0.6295, by the press time of early Tuesday.
While the slump in oil prices might have initially favored the bears, US President Donald Trump’s immigration move and concerns over North Korean leader’s health have recently propelled the risk-off. It’s worth mentioning that the pair paid a little heed to the recent RBA minutes while waiting for the Governor Philip Lowe’s speech.
As a result, the sellers might aim for 61.8% Fibonacci retracement of March month downside, at 0.6235 during the further downside. Though, 21-day SMA surrounding 0.6200 could challenge the pessimists afterward.
Alternatively, buyers are less likely to enter unless the quote refreshes the monthly top of 0.6445 on a daily closing basis.
However, this doesn’t negate the odds of a mild pullback towards 0.6400 considering the bullish MACD.
AUD/USD daily chart
Trend: Bearish
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