AUD/USD Price Analysis: Eyes a test of 200-day EMA on conquering 0.6700 resistance
|- Quiet market mood on account of Thanksgiving Day has turned the Aussie asset sideways.
- An establishment of the AUD/USD pair above 0.6700 has strengthened the Australian Dollar.
- The 200-EMA at 0.6847 is expected to be smashed by the major sooner.
The AUD/USD pair is displaying back-and-forth moves in a 10-pips range in the early Asian session. The Aussie asset has turned sideways after printing a fresh weekly high at 0.6778 amid a quiet market mood on account of Thanksgiving Day.
Meanwhile, the USD Index (DXY) is still in the hangover of ‘less-hawkish’ cues from the Federal Open Market Committee (FOMC) minutes. The US Dollar is hovering below the critical hurdle of 106.00 amid the risk appetite theme.
On a daily scale, the Aussie asset has confidently established above the horizontal support plotted near July 14 low around 0.6700. The next hurdle for the Aussie asset is the 200-period Exponential Moving Average (EMA) at 0.6847, which has remained a major ceiling.
The 20-period EMA at 0.6616 is scaling higher, which adds to the upside filters.
Meanwhile, the Relative Strength Index (RSI) (14) is focusing on shifting into the bullish range of 60.00-80.00, which will trigger a bullish momentum.
Going forward, a break above Thursday’s high at 0.6778 will extend the three-day winning streak, which will drive the asset toward the round-level resistance at 0.6800, followed by the 200-EMA at 0.6847.
On the flip side, the Australian Dollar could lose strength if the Aussie asset drops below Monday’s low at 0.6585. This will drag the major towards October 4 high at 0.6548 and November 2 high at 0.6493.
AUD/USD hourly chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.