AUD/USD Price Analysis: Struggles at the 50-DMA, retreats towards Tuesday’s high around 0.7130s

• The AUD/USD climbs some 0.07% in the North American session.
• AUD/USD Technical Outlook: Downward biased as shown by the confluence of resistance levels and DMAs depicting a downslope.

The AUD/USD retreats from weekly highs, right around the 50-day moving average (DMA) at 0.7163, edges lower some 0.07%. At the time of writing, the AUD/USD is trading at 0.7134. Market conditions are mixed, as European and US equity indices fluctuate between gainers and losers in the middle of the North American session.

In the meantime, the US Dollar Index, a gauge of the greenback’s value vs. a basket of six rivals, is losing 0.38% in the day but reclaimed the 96.00 figure as investors flow towards safe-haven peers.

AUD/USD Price Forecast: Technical outlook

The AUD/USD seesawed around the 0.7130-60 range during the overnight session until Wall Street opened. However, as American traders got to their desks, the release of US macroeconomic data influenced the dip from weekly highs around 0.7158 to 0.7125.

The Aussie is downward biased, based on the daily moving averages (DMAs) residing above the spot price, with a downslope. Furthermore, an eight-month-old downslope trendline, drawn from 2021 yearly highs, confluences with the 200-DMA, around 0.7384, 130-pips above the 100-DMA at 0.7254.

The AUD/USD first support would be the January 7 daily low at 0.7129. A breach of the latter would expose the January 24 daily low at 0.7090, followed by January 28 at 0.6967. 
To the upside, the AUD/USD first resistance would be the 50-DMA at 0.7163. If it gives way for AUD bulls, the next resistance would be 0.7200, followed by the confluence of a three-month-old downslope trendline and the 100-DMA at 0.7254.