The decline of the Australian Dollar versus the US Dollar continued during Wednesday’s trading session. The currency pair depreciated about 99 base points on Wednesday.
The exchange rate is currently trading near the lower boundary of a descending channel pattern at 0.7017 and could be set for a breakout.
If the breakout occurs, the AUD/USD pair will end this week’s trading session on a bear market.
However, if the descending channel pattern holds, a surge towards a resistance cluster formed by the50-hour SMA and the weekly S3 at 0.7057 might follow.