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  • AUD/USD’s bounce from session lows has stalled at 0.6150. 
  • The hourly chart studies show the path of least resistance is to the downside.

AUD/USD turned higher from the session low of 0.6122 an hour ago, but so far, the bounce has struggled to chew through the psychological hurdle of 0.6150. 

At press time, the spot is trading around 0.6137, representing a 0.38% drop on the day. 

The hourly chart relative strength index is reporting bearish conditions with a below-50 print. Also, the downside break of the ascending trendline confirmed in early Asia is still valid. Further, rating agency S&P’s decision to put Australia’s AAA rating on negative is likely to keep the AUD bulls at the bay. 

All in all, the spot remains on track to test the ascending 50-hour average, currently at 0.6119. A violation there would expose the 200-hour average at 0.61. 

On the higher side, a move above the former support-turned-resistance of 0.6165 seen on the hourly chart is needed to invalidate bearish pressures. 

Hourly chart

Trend: Bearish

Technical levels