The AUD/USD currency pair has shown resilience, paring losses from the previous day and trading around 0.7180 during Asian hours on Tuesday, according to technical analysis from FXStreet [1]. The pair is consolidating within a rectangle pattern, indicating neither bulls nor bears have taken control, and is currently above both the nine-day and 50-day Exponential Moving Averages (EMAs), which suggests underlying dip-buying interest. The 14-day Relative Strength Index (RSI) is near 52, signaling balanced momentum and potential for further gains if the price remains above these averages [1].
UOB analysts Quek Ser Leang and Lee Sue Ann report that AUD/USD fell sharply to 0.7135 before recovering to 0.7161 on Monday, closing down 0.29% for the day. They note a slight increase in downside momentum, with the possibility of retesting 0.7135, but do not expect the major support at 0.7100 to be threatened in the short term. Over the next 1–3 weeks, UOB maintains a range-trading view between 0.7100 and 0.7215, but their longer-term technical outlook points to a lower AUD/USD toward 0.6765 if the 0.6850/0.6870 support zone breaks [2].
FXStreet's technical analysis suggests the pair may explore the upper boundary of the rectangle pattern around 0.7260, followed by 0.7277, the highest level since June 2022, recorded on May 6. Immediate support is at the nine-day EMA at 0.7166, followed by the 50-day EMA at 0.7127, with further support at the lower boundary of the rectangle around 0.7070. A deeper decline would expose the four-month low of 0.6833, recorded on March 30 [1].
The Australian Dollar was the strongest against the Japanese Yen today, with a 0.29% gain, and also showed positive performance against other major currencies, including a 0.28% rise against the US Dollar [1].
CONCLUSION
AUD/USD is currently trading within a defined range, with limited downside pressure and constructive near-term bias supported by technical indicators. Analysts expect the pair to remain between 0.7100 and 0.7215 in the coming weeks, with key support and resistance levels closely watched. The market takeaway is a cautious optimism for stability, barring a break of major support zones.