AUD/USD Price Analysis: Ripe for rising channel breakout, 0.7100 eyed

• Aussie bulls are aiming for a rising channel breakout for further upside.
• Advancing 50-and 200-EMAs add to the upside filters.
• The RSI (14) has shifted into the bullish range of 60.00-80.00 swiftly.

The AUD/USD pair has turned sideways after printing a fresh monthly high of 0.7013 on Wednesday. The asset is oscillating in a 0.6979-0.7003 range in the early European session and is likely to extend gains after an upside break of the charted territory.

After a thorough observation of the hourly timeframe, it is not early to say that the asset is ripe to deliver an upside break of the rising channel. The upper and lower portion of the above-mentioned chart pattern is plotted from July 22 high and July 21 low at 0.6978 and 0.6858 respectively.

The 50-and 200-period Exponential Moving Averages (EMAs) at 0.6959 and 0.6911 respectively are scaling higher, which adds to the upside filters.

Also, the Relative Strength Index (RSI) (14) has shifted into the bullish range of 60.00-80.00, which advocates a sheer upside momentum ahead.

A confident break above Wednesday’s low at 0.7013 will drive the asset towards June 16 high at 0.7069, followed by the round-level resistance at 0.7100.

Alternatively, aussie bulls could lose their grip if the asset drops below July 25 low at 0.6880. This may drag the pair towards the round-level support at 0.6800. A downside move below 0.6800 will open the door for more downside towards July 13 low at 0.6724.

AUD/USD hourly chart