As the demand for the US dollar, AUD/USD is fast closing, it favors the short entries. The demand for the US dollar raises because of the US-China tensions escalations. President Trump accuses China of running a massive disinformation campaign and making the coronavirus spread all around the world.

A downtrend for the pair increases also due to the WHO warning that early relax in social distancing measures did not help in a surge of inflection flow. Adding to its Reserve Bank of Australia’s governor Lowe speech about the bond purchases also makes the AUD/USD low.

The US dollar index (DXY), a gauge of the greenback versus the major currencies, makes a recovery from 14-day low and adds extra pressure on the pair.

AUD/USD 4 Hour Chart:

Support:  0.6538 (S1), 0.6484 (S2), 0.6393 (S3).

Resistance: 0.6629 (R1), 0.6666 (R2), 0.6757 (R3).

There is a down of 0.70% in AUD/USD. It remains offered and leads intraday low to 0.6551 and the pair extends to previous fall mainly focused on US dollar turn tail and we expect the bearish trend for the pair.