The 4-hour chart for AUD/USD shows that the pair is consolidating within an ascending broadening wedge pattern. The recent correction was driven by the USD Index’s strength toward 100.50. This correction found support for AUD/USD at the 0.6450 level. The pair is rebounding from this support and appears poised to move higher. As the USD Index continues to decline from 100.50, bullish momentum in AUD/USD is increasing, potentially lifting the pair to higher levels.
Key support levels remain at 0.6450, 0.6380, and 0.6320. A break below 0.6320 would be bearish and could push AUD/USD lower. However, as long as the pair stays above 0.6450, there is potential for a move toward the 0.6700 level. This 0.6700 level is a long-term resistance line, and a break above it could drive AUD/USD to further gains. The RSI for AUD/USD is currently above 50, indicating strong bullish momentum.
