AUD/USD Price Analysis: Keeps five-day winning streak above 0.6900 after Aussie, China data
|- AUD/USD stays above 0.6900 after upbeat Aussie Retail Sales, China Caixin PMI.
- 21-day SMA offers immediate support ahead of the weekly low.
- 0.6975/80 acts as an additional upside barrier beyond the immediate resistance line.
- Bearish MACD, multiple resistances keep the buyers cautiously optimistic.
AUD/USD extends recovery moves from 0.6913 to trade around 0.6925, intraday high of 0.6931, during early Friday. Despite refraining from much rise after the welcome data, the quote remains on the front foot for the fourth day in a row, which in turn propels the bulls towards crossing a three-week-old resistance line.
Australia’s Retail Sales for May surge beyond 16.3% flash estimations and market forecasts to 16.9% whereas China’s June month Caixin Services PMI grew past-49.9 expected and 55 prior to 58.4.
Even if the buyers manage to cross the descending trend line from June 11, at 0.6461 now, bearish MACD and a horizontal area around 0.6975/80 established since June 16 could restrict the pair’s further upside.
However, the quote’s ability to pierce 0.6980 will easily surpass 0.7000 threshold to challenge the previous month's high of 0.7065.
Alternatively, a 21-day SMA level of 0.6906 limits the pair’s near-term declines, a break of which could highlight the weekly bottom surrounding 0.6830.
In a case where the bears refrain from stepping back around 0.6830, 0.6810, 0.6800 and the mid-June bottom around 0.6775 will flash on their radars.
AUD/USD daily chart
Trend: Bullish
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