AUD/USD Technical Analysis: Confluence of 50-day MA and the falling trend line is the level to beat for bulls

• AUD/USD’s failure to take out the confluence of the 50-day moving average (MA) and the trendline connecting the Jan. 26 high and June 6 high on Friday and the pullback to 0.7235 has neutralized the immediate bullish outlook.
• A daily close above the confluence, currently seen around 0.73 would signal a continuation of the rally from the Sept. 1 low of 0.7085.
• On the downside, acceptance below 0.72 (Aug. 15 low) could prove costly for the Aussie dollar.

Daily Chart

Spot Rate: 0.7243

Daily High: 0.7265

Daily Low: 0.7235

Trend: Neutral

Resistance

R1: 0.7267 (5-day MA)

R2: 0.7300 (trendline + 50-day MA)

R3: 0.7383 (Aug. 21 high)

Support

S1: 0.7227 (200-hour MA)

S2: 0.72 (Aug. 15 low)

S3: 0.7169 (61.8% Fib R of 0.7085/0.7304)