Search ForexCrunch
  • AUD/USD drops amid cautious market mood, ignore UK-Aussie trade deal.
  • The spot charts a downside breakout from a triangle formation.
  • Bearish RSI backs a decline towards 0.7650, as 0.7700 caves in.

AUD/USD is back in the range, testing the range lows near the 0.7690 region, as the bears look to regain complete control amid a cautious risk tone.

From the short-term technical perspective, the aussie has confirmed a triangle breakdown in the last hour following a sustained close below the rising trendline support at 0.7696.

The next bearish target appears at the psychological 0.7750 barrier, below which the June 3 low of 0.7644 could be retested.

The hourly Relative Strength Index (RSI) points south below the midline, allowing more room for declines.

AUD/USD hourly chart

On the other hand, the bulls need to recapture the triangle support now resistance, in order to embark upon any meaningful recovery.

Further up, the bearish 21-Simple Moving Average (SMA) at 0.7708 will test the conviction of the bullish traders.

AUD/USD additional levels to watch