• AUD/USD picks up bids to reverse early Asian losses, grinds around monthly top.
• Bulls eye another battle with resistance line from November 30, overbought RSI, bearish MACD test upside momentum.

AUD/USD refreshes intraday top near 0.7235, filling the week-start gap during early Monday.

In doing so, the Aussie pair again braces for the monthly upward sloping trend line resistance while keeping the sustained break above the key SMAs, namely the 200 and 10 ones.

It should be noted, however, as the MACD teases bears and RSI flirts with the overbought territory, which in turn hints at the limited upside exposure.

That said, a pullback towards the 200-SMA level surrounding 0.7180 and then to 100-SMA near 0.7135 can’t be ruled out. However, bears may wait for a clear break of horizontal support from November 30, close to 0.7090, for confirmation before challenging the yearly low of 0.6993.

On the flip side, an upside clearance of the stated resistance line, around 0.7255, will need validation from a November 12 low of 0.7274 before pulling the trigger for 0.7370.

AUD/USD: Four-hour chart

Trend: Limited upside expected