AUD/USD: Rising Wedge Breakdown Signals Bearish ShiftAUD/USD has broken down from a rising wedge formation after rejecting near the 61.8% Fibonacci retracement at 0.6558. This pattern, typically bearish, suggests the recent uptrend is losing steam — a view reinforced by Friday’s strong bearish candle closing below both the wedge support and the 50-day SMA (0.6510).
The price action now sits just above the 200-day SMA (0.6397), a level that could act as a short-term buffer. If this moving average gives way, focus shifts to the prior horizontal support at 0.6170. Meanwhile, upside attempts may find resistance at the broken wedge support and Fib zone near 0.6550.
Momentum indicators support the bearish case:
MACD is flat but biased lower, hovering near the zero line.
RSI has dipped below 50 (currently ~47.7), indicating weakening bullish momentum.
Unless AUD/USD quickly reclaims 0.6550, the path appears tilted toward further losses, potentially targeting the 0.63–0.62 zone.
Bias: Bearish breakdown with downside pressure while below 0.6550. Watch 0.6397 and 0.6170 as key support levels.
-MW
