AUD/USD Price Analysis: Recovery moves aim to confirm short-term falling wedge
- AUD/USD holds onto recovery gains inside a short-term bullish technical pattern.
- RSI taking an upside turn favors the buyers, sellers may wait for entry below the weekly support line.
- 200-HMA will act as an additional upside barrier.
AUD/USD extends the recovery moves from multi-year lows while rising to 0.6320, up 1.38%, by the press time of early Friday. With this, the Aussie pair aims to confirm the short-term bullish formation. Also supporting the price pullback could be the U-turn in RSI from oversold territory.
As a result, buyers will take entry beyond the 0.6325 resistance line while targeting the weekly falling trend line resistance, around 0.6430 now.
However, the pair’s further upside beyond 0.6430 can propel it beyond the 20-Hour Moving Average (HMA) level of 0.6550.
On the downside, 0.6260 and 0.6220 can offer immediate supports to the pair ahead of highlighting the key 0.6200 rest-point.
Should there be a sustained downpour past-0.6200, the bears will not hesitate to challenge 0.6000 psychological mark.
AUD/USD hourly chart
Trend: Pullback expected