It holds the position near 0.6850, the lower limit of an ascending channel

• The AUD/USD price is struggling to break above the lower limit of the ascending channel around the 0.6860 level.
• The 14-day RSI remains above the 50 level, suggesting bullish sentiment is still intact.
• A successful reversal of the channel would strengthen the uptrend of the pair.

AUD/USD is recovering recent losses from the previous session, trading around 0.6860 during European hours on Thursday. Technical analysis of the daily chart shows the pair trying to break above the lower limit of an ascending channel pattern. A successful return of the channel would strengthen the optimistic outlook.

The 14-day Relative Strength Index (RSI) remains above the 50 level, suggesting bullish sentiment is still intact. A further move towards the 70 level would strengthen the uptrend for the pair.

On the upside, AUD/USD is testing the lower boundary of the ascending channel at the 0.6860 level. A successful return to the channel would provide support for the pair to move towards the upper limit, located around the 0.6960 level.

In terms of support, the AUD/USD pair may find immediate support at the nine-day exponential moving average (EMA) around the 0.6815 level. The next key support level is the psychological barrier at 0.6700. A break below this level could take the pair further down towards the six-week low of 0.6622, which was recorded on September 11.

AUD/USD: Daily chart