AUD/USD Price Forecast: Looking for direction above 0.6500

• The Aussie Dollar treads water on Monday following a sharp reversal last week.
• A moderate risk appetite and a softer US Dollar are supporting the Aussie.
• Further depreciation below 0.6500 would increase bearish pressure towards 0.6450 and 0.6375.
  

The AUD/USD is hesitating right above 0.6500, practically flat on the day. The risk on market and the softer US Dollar amid lower US Treasury yields keep the pair supported, but upside attempts seem limited. The broader technical picture remains messy, following a significant reversal last week.

The fundamental background is moderately supportive on a calm trading session without any relevant macroeconomic releases. News that a likely meeting between US President Trump and Chinese PM Xi at the APEC summit will help to normalize relations between the world's two major economies is contributing to feeding investors' optimism

Technical analysis: Hovering above key support at 0.6490
AUD/USD Chart

The technical picture is mixed. Oscillators are showing a lack of momentum with the Relative Strength index on the daily and 4-hour charts wavering around the 50 level, and the Doji candles on the 4-hour charts highlighting a hesitant market.

The pair is hovering at a short distance above the intra-day low at 0.6500. Below here, negative pressure would increase with bears aiming for the July 17 low at 0.6450 first and then the June 23 low, at 0.6375. On the upside, resistances are at Friday's high at 0.6545 and the early July highs, at the 0.6590 area.