AUDUSD holds lower grounds near 0.6335, close to the yearly low marked last week, after the Reserve Bank of Australia (RBA) left its cash rate unchanged as expected. It’s worth noting that the RBA Rate Statement appeared a bit dovish and hence allowed the Aussie bears to keep the reins, especially amid a broadly firmer US Dollar. Additionally, the bearish MACD signals and an absence of the oversold RSI line also keep the pair sellers hopeful. With this, the quote is likely to revisit a seven-month-old downward-sloping support line surrounding 0.6310, quickly followed by the 0.6300 round figure. Following that, the November 2022 bottom of near 0.6270 may act as the final defense of the buyers before directing the pair toward the previous yearly low close to 0.6170.
Meanwhile, a corrective bounce can aim for the 78.6% Fibonacci retracement of October 2022 to February 2023 upside, near 0.6380 by the press time, ahead of directing the AUDUSD buyers toward the 50-day SMA level of around 0.6470. In a case where the Aussie bulls manage to keep the reins past 0.6470, a five-week-long descending resistance line near 0.6505 will be the last hurdle for the upside targeting June’s low of near 0.6600. It’s worth noting that the Aussie pair’s successful run-up beyond 0.6600 enables the quote to reverse the 2.5-month-old downtrend by aiming for July’s peak surrounding 0.6900.
Overall, AUDUSD remains in the bearish trend even as the multi-month-old descending resistance line challenges the sellers.
