**AUD/USD Weekly Outlook – Extended Technical and Sentiment Analysis**
*Based on the analysis found in Action Forex’s “AUD/USD Weekly Report” by ActionForex.com, with supplementary insights for context.*
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### Overview
In the past week, the AUD/USD currency pair continued its period of consolidation, finding persistent support from a broad technical structure while facing resistance from macroeconomic factors. Market participants remain cautious, responding to both global risk sentiment and evolving monetary policy stances from the Reserve Bank of Australia (RBA) and the US Federal Reserve (Fed). This comprehensive outlook breaks down the pair’s recent performance, key drivers, technical positioning, and the predominant themes that will likely shape future price action.
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### **Recent Price Action**
– **AUD/USD ended the week with indecisive trading**: Following a period of sideways movement, the Australian Dollar failed to sustain a breakout in either direction. Bearish overtures were evident, but significant support levels contained the downside.
– **Momentum has slowed**: The lack of clear trend conviction is a direct result of mixed macroeconomic cues and anticipation around upcoming policy decisions.
– **Range-bound trading continues**: The pair oscillated within a relatively narrow range, mainly held between the support zone near 0.6570–0.6600 and resistance at 0.6700–0.6730.
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### **Technical Analysis: Key Levels and Patterns**
#### **Daily Chart Highlights**
– **Uptrend Channel Intact**: On the daily timeframe, AUD/USD continues to respect a modestly rising channel established in early May. The lower end of the channel, currently near 0.6580, serves as a near-term support base.
– **Resistance remains overhead**: The initial upside hurdle stands at 0.6713 (last week’s high), with a close above this area needed to encourage sustained bullish momentum.
– **Bearish momentum lacks follow-through**: Despite repeated testing below 0.6600, bears failed to achieve a decisive close below the channel support.
– **Indicators signal consolidation**:
– The Relative Strength Index (RSI) hovers mid-range, indicating neutrality.
– The MACD histogram shows minimal divergence, further validating the consolidation theme.
– **Fibonacci retracement levels**: The 38.2% retracement of the rally from April’s low to recent highs lies near 0.6590, reinforcing this zone as technical support.
#### **Weekly Chart Insights**
– **Range-bound structure**: The weekly chart displays a broad horizontal band between 0.6460–0.6710 that has largely defined price swings since late April.
– **Key supports**:
– 0.6580 (recent channel base)
– 0.6460–0.6490 (longer-term swing lows)
– **Key resistances**:
– 0.6710–0.6720 (multiple weekly highs)
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