AUD/USD Technical Analysis: Set-up favors further downside but bears seemed reluctant ahead of RBA on Tuesday

   •  The pair failed to capitalize on the weekly bullish gap and once again, for the third straight session, faced rejection near 50-hour SMA despite the latest US-China trade optimism. 

   •  The fact that the pair remains well below important intraday moving averages – 50, 100 & 200-hour SMA, clearly points to an extension of the recent bearish slide from the 0.7200 handle.

   •  Bearish technical indicators on hourly/daily charts point further reinforce the negative outlook, albeit seemed reluctant to place aggressive bid ahead of Tuesday's RBA decision.

   •  Hence, it would be prudent to wait for a convincing break through a strong horizontal support near the 0.7070-65 region before positioning for any further near-term depreciating move.

AUD/USD 1-hourly chart