AUD/USD is trying hard to extend above Monday's high while trading below 0.7300 so far this Tuesday. The pair is consolidating the sharp pullback from the two-month high of 0.7340.
Although the bulls struggle to take on the 0.7300 level. Technically, the major appears vulnerable and may retest the critical horizontal barrier at the 0.7340 mark. A break above the key hurdle could open the doors for bulls to test the 0.7400 psychological level.
Alternatively, on the daily chart, the Stochastic indicator is located at 84, indicating the overbought condition.
A daily closing below the lows of 0.7260 could validate the near-term bearish bias. The next relevant support is then seen at the 0.7160 key level which coincides with 50% retracement of November bullish move.