AUD/USD is currently trading almost unchanged at 0.7393 on the first day of the new week. The intraday support levels are at 0.7371 and 0.7344. The near-term resistance areas are at 0.7416 and 0.7446.
The pair moved lower almost the entire last week and is now heading towards the SMA-50 support line at 0.7365. The SMA-14 is indicating resistance at 0.7470 while the pair is also keeping below the mid-band which is at 0.7449. The upper and lower bands are at 0.7559 and 0.7304 respectively. The RSI is below the neutral zone and the MACD also indicates a bearish trajectory. Although the bears appear in control but the SMA-50 support area may cause a bounce back as well. Therefore staying on the side of the trend a sell entry is ideal using if the markets breaks below the 0.7365 on the 4-houlry chart. The target for this trade will be 50 to 60 pips with a stop-loss at 0.7412.
The possible breakout also suggests further decline and targets can be extended for a multi-day sell trade.
