AUD/USD Reclaims 5-DMA Amid Stabilizing Equities
The AUD/USD
pair quickly reversed a brief dip below 0.76 handle and climbed back
higher in the Asian traders, as risk sentiment appears to get better
amid holiday-thinned trading.
AUD/USD eases-off daily highs
Currently,
the AUD/USD pair advances 0.17% to 0.7615, having posted day’s high at
0.7622 and day’s low at 0.7594. The Aussie is seen making minor-recovery
attempts from NY low at 0.7588 reached last Friday amid stabilizing
Asian equities after the huge gap down opening.
However, the
upside lacks momentum as the latest Australian economic news
disappointed bulls, weighing down on the Aussie’s recovery mode. The
National Australia Bank (NAB) Business Confidence & business
conditions came in at 5 (prior 6) and 9 (prior 12) respectively.
While
lower oil prices combined with dismal Chinese manufacturing PMI
reports, also weighed on the resource-linked Aussie. Looking ahead, we
have a big week for the AUD, with a string of key economic releases due
later this week, while the RBA cash rate decision due tomorrow also
remains on top of the investors’ minds.
AUD/USD Levels to watch
The
pair finds the immediate resistance at 0.766/72 (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).