AUD/USD Price Analysis: Struggles around 0.7200 as bulls seek confirmation

• AUD/USD fades the previous day’s upside momentum, refreshes intraday low at the latest.
• Momentum lines keeps buyers hopeful, July low, 20-DMA guard immediate upside.
• 5-DMA, nine-week-old support line challenge bears before June 2020 top.

AUD/USD consolidates the previous day’s heavy gains, the biggest daily jump since April, while refreshing an intraday low near 0.7200 amid Tuesday’s Asian session.

The Aussie pair crossed 5-DMA for the first in a week, by extending Friday’s U-turn from a descending support line from June 18, on Monday.

Although the Momentum line backs the recovery moves, the AUD/USD buyers seem to wait for a clear break of July’s low of 0.7288 for further advances.

Also acting as the short-term resistance is the 20-DMA level near 0.7315 and the monthly high near 0.7430.

On the flip side, pullback moves may eye the 5-DMA re-test, around 0.7185, but any further weakness will be challenged by the stated support line near 0.7085.

In a case where the AUD/USD bears keep reins past 0.7085, June 2020 tops near the 0.7000 psychological magnet become the key to watch.

AUD/USD: Daily chart

Trend: Further upside expected