FX.co ★ Technical analysis of AUD/USD for January 31, 2022

The Aussie (AUD) pair is at an all-time low against the dollar around the spot of 0.7050 and 0.7000.

The AUD/USD pair is inside in downward channel. Closing below the major resistance (0.7160 - 61.8% of Fibonacci) could assure that AUD/USD will move lower towards cooling new lows.

Aussie is continuing dropping by market cap at 2.5% in a day, 12.25% in a week, and 65.75% in a month, and is trading at 0.7050 after it reached 0.7000 earlier.

Aussie has been set below the strong resistance 0.716 , which coincides with the 61.8% Fibonacci retracement level.

This resistance has been rejected three times confirming the veracity of an downtrend. The market is likely to show signs of a bearish trend around the spot of 0.7087 and/or 0.7161.

Sell orders are recommended below the area of 0.7087 and/or 0.7161 with the first target at the price of $ 0.6970; and continue towards 0.6911 in order to test the last bearish wave.

On the other hand, if the AUD/USD fails to break through the support price of 0.6970 today, the market will rise further to 0.6160.