AUD/USD The 20-day exponential moving average (EMA) will continue to serve

The movement of the AUD/USD pair is volatile during the Asian session. The asset was auctioned in the region of 0.6732 to 0.6746 with a sluggish increase in the US dollar index (DXY). Monday saw little improvement in the major as it lost the important support level of 0.6760. The asset's value dropped to 0.6716, a fresh two-year low.

The Darvas Box pattern breaks, increasing the volatility of the counter. The aforementioned chart pattern has grown since July's first trading session inside a wider range of 0.6761-0.6900.

Negative filtering is strengthened around 0.6827 by a bearish cross of the 20-period and 50-period Exponential Moving Averages (EMAs).

Further losses are expected as the Relative Strength Index (RSI) (14) has shifted into the negative territory between 20.00 and 40.00. There are no divergence or oversold circumstances present in the momentum oscillator RSI (14) reading.

The dollar bulls will push the asset to its 29 May 2020 top of 0.6683 if it drops below Monday's low of 0.6713. If the latter limit is crossed, the asset will reach its top on April 30, 2020, at 0.6570.

In contrast, if the asset breaks beyond the July 5 high of 0.6896, the dollar bulls may lose their grip. A similar occurrence would drive the asset to its peak on June 30 at 0.6920 and then to its peak on June 28 at 0.6965.