AUD/USD Price Analysis: Retreats from 0.7000 inside weekly bullish channel

• AUD/USD remains lackluster inside one-week-old bullish channel.
• Looming bull cross on the MACD, sustained trading beyond the key SMA, support line favor Aussie pair buyers.
• Clear break of 0.7050 becomes necessary for bull’s conviction.

AUD/USD bulls take a breather as markets await the key data/events scheduled for release on Wednesday. Even so, the Aussie pair remains inside a one-week-old bullish channel while flashing 0.6985 as the quote by the press time.

In addition to the ascending trend channel, the impending bullish cross on the MACD and the Aussie pair’s successful trading above the 100-bar Simple Moving Average (SMA), as well as a one-month-long ascending support line, keeps AUD/USD buyers hopeful.

However, the bullish bias gets rejected if the quote defies the channel formation by breaking the 0.6935 support, comprising the lower line of the bullish chart pattern.

Following that, the 100-SMA and the aforementioned support line, respectively near 0.6850 and 0.6775 in that order, will be in focus.

It’s worth noting that the AUD/USD weakness past 0.6775 appears a good sign for the bears targeting the previous monthly low surrounding 0.6630.

On the flip side, the 0.7000 psychological magnet and the current monthly peak near 0.7030 could challenge the AUD/USD buyers ahead of the stated channel’s top line, close to 0.7045.

Even if the quote rises past 0.7045, the early August 2022 peak surrounding 0.7050 could act as the last defense of the Aussie pair sellers before pushing the prices towards the 0.7136 mark, comprising the August monthly top.

AUD/USD: Four-hour chart

Trend: Bullish