AUD/USD Recovery Stalls ahead of 0.7300, US Data Eyed
The AUD/USD pair
is seen struggling to extend its recovery from ten-week lows over the
past few hours, keeping the pair in a flat-lining around 0.73 handle.
AUD/USD finds support well above 200-DMA at 0.7264
Currently, the AUD/USD pair drops -0.27% to 0.7300, reversing a brief
dip to fresh ten-week lows reached at 0.7287 post-China open. The Aussie
keeps the softer tone intact for the second straight session and
remains poised to book third straight weekly drop, as the recent
sell-off in the major was triggered by poor Aus inflation data and broad
based US dollar rally.
While today’s drop in the AUD/USD pair can be largely attributed to the
intensifying risk-off moods in the markets as oil prices retreat from
2016 tops. Moreover, markets prefer to hold the US currency heading into
a string of US economic data due later in the NA session.
AUD/USD Levels to watch
The pair finds the immediate resistance at 0.7350 (100-DMA) above which
gains could be extended to the next hurdle located at 0.7373 (daily
high). On the flip side, the immediate support located at 0.7264
(200-DMA). Selling pressure is likely to intensify below the last,
dragging the Aussie 0.7230/00 (daily S3/ Feb-end levels).
