AUD/USD Defending Gains Amid Industrial Metals Sell-off
The bid tone around the AUD is seen weakening over the last hour, driving AUD/USD slightly lower towards 100-DMA on aggressive selling around the industrial metals.
AUD/USD fails near 0.7390
Currently,
the AUD/USD pair trades +0.10% higher at 0.7368, having previously
posted daily highs at 0.7386. The recovery attempts in the AUD/USD pair
from two-month troughs remains confined below 0.74 handle, as heavy
selling in the iron-ore and copper prices overshadow the optimism
spurred by rising oil prices. Iron-ore prices are down almost 4%, while
copper sinks -1.40%.
Moreover, extension of the ongoing bullish
momentum around the greenback, further keeps a lid on the AUD/USD pair.
Meanwhile, markets failed to react to the downbeat Aus jobs ads data as
focus now turns towards the Chinese CPI data due later this week, while
the US calendar remains fairly light.
AUD/USD Levels to watch
The
pair finds the immediate resistance at 0.7400 (round number) above
which gains could be extended to the next hurdle located at 0.7550 (1h
200-SMA/ psychological levels). On the flip side, the immediate support
located at 0.7348 (100-DMA). Selling pressure is likely to intensify
below the last, dragging the Aussie 0.7300/0.7278 (round figure/ Mar 3
Low).
