AUD/USD Finds Fresh Bids at 0.7650, Re-takes 0.7700?
The selling pressure behind the AUD gained further traction over the last hour, sending AUD/USD lower to the half-way point on 76 handle, before the bulls were rescued by China data.
AUD/USD dragged down by risk-aversion
Currently, the AUD/USD pair trades 0.13% higher at 0.7668, bouncing-off fresh session low reached at 0.7651 in the last hour. The Aussie attempts a minor recovery amid persistent risk-off markets and sliding oil prices, although surprisingly positive Chinese PMI datasets helped cushion the downside in the prices.
The Chinese Manufacturing PMI rose from 49.0 in February to nine-month high of 50.2 in March. While March Caixin manufacturing PMI came at 49.7 vs 48.2 expected and 48.0 last, hitting a one-year high. Meanwhile, the Australian benchmark index, the ASX 200, sinks -1.67% and surrenders 5k barrier.
In the day ahead, the risk conditions as well the price action in the commodities will continue to influence the major. However, the main risk event for the Aussie remains the US payrolls data, which may have major impact on the USD flows.
AUD/USD Levels to watch
The pair finds the immediate resistance at 0.7700/07 (round number/ Mar 30 High) above which gains could be extended to the next hurdle located at 0.7723/41 (Mar 31 High/ July 2015 High). On the flip side, the immediate support located at 0.7634/29 (5-DMA/ daily S1/). Selling pressure is likely to intensify below the last, dragging the Aussie to 0.7581/70 (1h 200-SMA/ 20-DMA).
(Market News Provided by FXstreet)
