- AUD/USD’s daily chart shows signs of bull fatigue.
- A pullback to the 10-day SMA could be seen.
AUD/USD is now trading largely unchanged on the day near 0.7532, having printed a high of 0.7546 early today.
The long upper wicks attached to the previous two daily candles indicate uptrend exhaustion and add credence to the above-70 or overbought reading on the 14-day Relative Strength Index.
As such, a pullback to the 10-day Simple Moving Average (SMA) could be in the offing. The ascending SMA is currently located at 0.7468. A violation there would expose the Sept. 1 high of 0.7413. On the higher side, Monday’s peak price of 0.7578 is likely to offer resistance.
DAILY CHART
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Trend: Bearish