AUD/USD Recovery Stalls at Key Fibonacci Resistance
The AUD/USD pair shows signs of losing upward momentum after repeatedly failing to break above the 23.6% Fibonacci retracement level at 0.6961, with a Doji candlestick pattern emerging on Tuesday.
The Australian dollar’s recovery from the June 30 low at 0.6865 appears to be losing steam. Tuesday’s trading produced a tight Doji candlestick, indicating indecision and a potential loss of bullish traction after several unsuccessful attempts to clear initial Fibonacci resistance.
The key barrier lies at 0.6961, which corresponds to the 23.6% retracement of the 0.7271/0.6965 downtrend. This level is further reinforced by the declining 10-day moving average, adding to the resistance. A break above this zone is needed to confirm further upside, but the current price action suggests headwinds are growing.
Source: FXStreet Forex News