AUD/USD: Upside Gathers Pace Ahead of RBA, 0.7670 Eyed
The AUD/USD
pair once again found fresh bids near 0.7595 region and bounced back
higher above 0.76 handle, now flirting with highs around 0.7630.
AUD/USD: RBA, economic releases in focus
Currently,
the AUD/USD pair advances 0.46% to fresh session highs of 0.7628,
making headway towards 0.7670 – strong upside barrier. The Aussie caught
fresh bid-wave and swung back higher amid positive sentiment witnessed
on the European indices and stabilizing oil prices.
Moreover,
markets take the upcoming RBA cash rate decision as an excuse to wind up
shorts, especially after last week’s massive sell-off, resulting in the
ongoing short-covering rally. While broad based USD selling on
dwindling Fed rate hike prospect until December, also keeps the AUD/USD
pair underpinned. The USD index drops -0.22% to fresh 8-month lows at
92.79.
Next on tap for major remains the US ISM manufacturing PMI
report due later in the US session. While tomorrow, China’s Caixin PMI
and RBA’s policy decision will be solely watched in the Asian morning
for fresh direction on the AUD/USD pair.
AUD/USD Levels to watch
The
pair finds the immediate resistance at 0.7668/72 (10 & 20-DMA)
above which gains could be extended to the next hurdle located at 0.7700
(round figure). On the flip side, the immediate support located at
0.7584/62 (daily S2/ 50-DMA). Selling pressure is likely to intensify
below the last, dragging the Aussie 0.7545 (Apr 27 Low).
