AUD/USD Price Forecast: Hits Multi-Year High Past 0.7100

The Australian Dollar (AUD) surges nearly 1% on Tuesday on speculation that the Reserve Bank of Australia (RBA) might raise rates at its March meeting. At the time of writing, the AUD/USD pair trades at 0.7131, after reaching a three-year high at 0.7168.

AUD/USD Price Forecast: Terminal outlook

The AUD/USD technical picture is bullish-biased after hitting its highest level since June 2022, poised to extend its gains if it closes daily above the 0.7100 figure.

The Relative Strength Index (RSI) reveals that momentum is bullish, but the index needs to clear the previous high of 64, which could open the door to further upside in the AUD/USD pair.

If AUD/USD surpasses 0.7168, the next resistance would be the 0.7200 figure. A breach of the latter will expose the 0.7250 mark, followed by 0.7300.

Conversely, if AUD/USD tumbles below 0.7100, it opens the door for a pullback. The first support would be 0.7053, the March 10 low, followed by the 0.7000 mark. On further weakness, the next area of demand would be the March 9 swing low of 0.6956.