AUD/USD Price Analysis: Golden cross confirms more upside for aussie bulls, 0.7100 eyed

A bearish Double Distribution day could bring more offers to the asset.
A golden cross, represented by 50- and 200-period EMAs advocates the antipodean.
Aussie bulls may find a responsive buying action at the lower boundary of the Rising Channel.

The AUD/USD pair has witnessed a steep fall in the Asian session after sensing barricades at 0.7050. The aussie bulls remained stronger on Thursday after establishing above the psychological resistance of 0.7000. In today’s session, the asset is expected to display a negative Double Distribution day. The major has witnessed a steep fall in early Tokyo after a breakdown of the narrow consolidation formed in a 0.7043-0.7052 range and is expected to display one more inventory distribution at lower levels.

On an hourly scale, the pair is auctioning in a Rising Channel whose upper boundary is placed from March 12 high at 0.6954 while the lower boundary is plotted from last week’s low at 0.6828. The trendline placed from April 21 high at 0.7458, adjoining May’s high 0.7267 is acting as a barricade for the counter.

A golden cross by the 50- and 200-period Exponential Moving Averages (EMAs) at 0.6992 is advocating a confident bullish reversal.

Meanwhile, the Relative Strength Index (RSI) (14) has slipped from the bullish range of 60.00-80.00 but is expected to find a responsive buying action at 40.00.

After tapping the lower boundary of the Rising Channel around 0.6989, a bargain long opportunity will trigger, which will send the asset towards Thursday’s high at 0.7073, followed by April 27 low at 0.7100.

On the flip side, greenback bulls could regain control if the asset drops below Wednesday’s low at 0.6948. This will drag the asset towards May 10 low at 0.6910. Violation of the May 10 low will expose the asset to yearly lows at 0.6830.