AUDUSD is standing above the developing bullish crossover within the 20- and 40-period simple moving averages (SMAs), ready to insert back into the Ichimoku cloud in the four-hour chart. Also, the price has been trading above the rising trend line drawn from July 24 despite moving horizontally over the last couple of days. The technical indicators are flattening, with the RSI holding marginally above its 50 level and the MACD remaining muted around its trigger line.
An extension to the upside and above the upper surface of the Ichimoku cloud could meet the area around the 0.7325 barrier. Further up, resistance could run towards the 25-month high of 0.7413, achieved on September 1.
On the other hand, if the pair weakens, the bullish cross within the short-term SMAs around 0.7268 could provide immediate support ahead of the 0.7245 barrier. Even lower, the uptrend line near 0.7215 could attract a greater attention as any leg lower could turn the outlook to neutral, shifting the spotlight to the 0.7192 support.
Concluding, AUDUSD maintains a positive tendency in the short-term, however, the price needs to post a higher high above the 25-month peak of 0.7413 to further improve its outlook.
Origin: XM
