AUD/USD Analysis: Aussie’s recovery stalled around 0.6800
|AUD/USD Current Price: 0.6798
- The greenback collapsed on market talks indicating the possibility of a Trump impeachment.
- AUD/USD advance seems corrective, bears still in control.
The AUD/USD pair advanced this Tuesday, reaching a daily high of 0.6805, initially underpinned by a better perception of risk, later on broad dollar’s weakness, this last a result of Nancy Pelosi, the US House Speaker announcing the possibility of impeaching President Donald Trump. Earlier in the day, China exempted severs companies from tariffs on at least 2 million tons of U.S. soybeans, a headline that kept the Aussie afloat. Australia didn’t release relevant data, and the calendar will remain empty this Wednesday, although the Australian dollar could be affected by news coming from New Zealand, as the RBNZ will announce its latest decision on monetary policy early Wednesday.
AUD/USD short-term technical outlook
The AUD/USD pair offers a neutral-to-bullish stance in its 4 hours chart, as the pair is above its 20 and 200 SMA, but below the 100 SMA, all of them lacking directional strength, while technical indicators lost their upward strength after crossing their midlines into positive ground. Nevertheless, failure to recover beyond 0.6800 is quite a discouraging sign for bulls. The intraday advance has been quite modest and seems corrective at this point. Only above 0.6840 bears will start worrying and could unwind shorts.
Support levels: 0.6735 0.6700 0.6665
Resistance levels: 0.6805 0.6840 0.6880
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