AUD/USD Price Forecast: Holds above 0.7150 on soft USD; Fed/Iran risks curb upside
The AUD/USD pair attracts some buyers in the vicinity of mid-0.7100s at the start of a new week, stalling Friday's retracement slide from its highest level since mid-May. Spot prices, however, lack bullish conviction and remain below the 0.7200 mark through the Asian session.
The AUD/USD currency pair remains above the 0.7150 level this week, supported by a soft US Dollar and concerns over potential conflicts between the United States and Iran. After initially staging a modest bounce from the high reached in mid-May, the pair's conviction remains weak, trading just below the 0.7200 mark in the Asian session.
The US Dollar has shown signs of weakness, slipping below a two-week high on Friday. This factor, combined with heightened tensions between the US and Iran, is providing support to the AUD/USD pair as a safe-haven currency. Technical analysis indicates a mildly bullish outlook for the pair above the 200-period Exponential Moving Average at 0.7082, though momentum is not particularly strong.
The Relative Strength Index is neutral at 46, while the Moving Average Convergence Divergence indicator has dipped slightly into negative territory, suggesting moderating upside pressure. Should the AUD/USD manage to stay above the current price around 0.7135-0.7130, pullbacks may see some buying interest. For bulls to push the pair higher, sustained strength above the 0.6200 mark would be necessary.
Written by urgent.news from FXStreet's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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