AUD/USD: Bulls face rejection near 0.7750

• AUD/USD consolidates gains below 0.7750 in early European session.
• Pair seeks more downside if price breaks below 0.7710.
• Momentum oscillator remains on oversold trajectory and warns against aggressive bets.

The AUD/USD pair maintains a muted tone and trades in a range-bound manner in the European session. The pair tracks the previous day’s subdued price action, accumulating 30-pip moves at a time.

At the time of writing, the AUD/USD pair is trading at 0.7744, up 0.019% on the day.

AUD/USD daily chart

On the daily chart, the pair has been consolidating gains above the 0.7730 level. The price is placed just above the 50-day Simple Moving Average (SMA) at 0.7712. If price breaks below the mentioned level, then the first stop would be Thursday's low at 0.7687.

The Moving Average Convergence Divergence (MACD) indicator reads above the midline with  bearish crossover. This suggests the price could correct further toward the 0.7650 horizontal support level followed by the April 14 lows at 0.7633.

Alternatively, if price makes a sustained move above the session’s high at 0.7747, then it could reach the previous day’s high at 0.7768 followed by the 0.7820 horizontal resistance level.

The next area of resistance would be the May 7 high at 0.7853 for bulls.

AUD/USD Additional Levels