AUD/USD Technical Analysis: 0.6850 is tough nut to crack

• AUD/USD has trimmed losses but still remains in the red. 
• Repeated rejection above 0.6850 has neutralized the immediate bullish setup. 

AUD/USD is currently trading at 0.6842, representing marginal losses on the day, having hit a low of 0.6833 two hours go on the back of dismal Aussie data. 

The daily chart shows the bulls have repeatedly failed to keep the pair above 0.6850 since Dec. 3.

As a result, the immediate bullish view put forward by the pair's breakout on Dec. 2 stands neutralized. 

A close above Wednesday's Doji candle's high of 0.6855 is needed to revive the bullish setup. The MACD histogram has already crossed into the bullish territory above zero. 

Therefore, a close above 0.6855, if confirmed, could yield a quick rally to recent highs near 0.6930. 

On the flip side, a close below Wednesday's low of 0.6813 would confirm a bearish Doji reversal. 

Daily chart

Trend: Neutral 

Technical levels