AUD/USD Forecast: Bullish case loses steam, while bears remain side-lined

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AUD/USD Forecast: Bullish case loses steam, while bears remain side-lined
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Aussie eased within familiar levels but holds above a critical Fibonacci level AUD AUDUSD $AUD $AUDUSD

The Australian macroeconomic calendar will remain empty for the rest of the week.pair trimmed Tuesday's gains and heads into Thursday's open trading just below the 0.7200 mark, undermined by the soft tone of global equities. Investors moved away from high-yielding equities amid fears that aggressive central banks would end up putting a brake on economic progress.

The 4-hour chart shows that the pair is seesawing around a mildly bearish 20 SMA, while technical indicators turned marginally lower within neutral levels. The 38.2% retracement of the April/May decline at 0.7140 is the level to watch, as further slides are likely once below it. The 50% retracement of the mentioned slide provides resistance at 0.7245.View Live Chart for the AUD/USD

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

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