A confirmed break above the 0.7000 threshold or a pullback that holds around the 200-day SMA would provide a cleaner setup. Bullish trigger: A sustained move above 0.7000, ideally supported by firm Australian labour data, stronger expectations of another RBA rate increase, lower US yields or an improvement in risk appetite. The next major test would then be the 200-day SMA around 0.6900. Such an outcome could strengthen expectations of another RBA rate increase and support a sustained move above 0.7000 of the pair. In that case, AUD/USD could remain confined between resistance around 0.7000 and the 200-day SMA just past 0.6900, with its direction determined primarily by the US Dollar and global risk sentiment.