AUD/USD is trading at 0.6948 (+0.14%) as of July 10, 2026, during the European session, with a daily range of 0.6937 to 0.6972. The pair's current level is below both its 20-day and 50-day simple moving averages, at 0.6958 and 0.7076 respectively, indicating an ongoing downtrend. The Relative Strength Index (RSI) stands at 41.4, still in neutral territory, suggesting that the downtrend may not be oversold yet. The Average True Range (ATR) of 0.0048 indicates moderate daily volatility.

The current price action is near the pivot level of 0.6936, with the first resistance level (R1) at 0.6946, which was briefly touched earlier in the day, and the first support level (S1) at 0.6926. The pair's inability to break above the R1 level may signal a continuation of the downtrend.

The market may be underpricing the potential for further downside given the pair's position below both the SMA-20 and SMA-50. A break below the S1 level at 0.6926 could confirm this view, potentially targeting the lower end of its 52-week range at 0.6683. The next catalyst for AUD/USD will be the upcoming US inflation data release, which could significantly impact the USD and, consequently, the AUD/USD pair. A stronger-than-expected US inflation print could exacerbate the downtrend, pushing AUD/USD lower.