AUD/USD Analysis: battling to retain gains

Valeria Bednarik FXStreet

AUD/USD Current Price: 0.6859

The Australian CB Leading Economic Index improved to 107.4 in August
AUD/USD correcting lower but selling interest limited at the time being.

The AUD/USD pair advanced up to 0.6882 during Asian trading hours, finding support in the Australian CB Leading Economic Index, which rose in August to 107.4. Still, investors had a hard time trying to push it further higher, as there are no solid reasons to buy the AUD. The pair eased during US trading hours, with the subsequent attempt to recover ground capped by Brexit headlines weighing on high-yielding assets. There’s no data scheduled in Austria this Wednesday, with the only notable event being a speech from RBA’s Kent.

AUD/USD short-term technical outlook

The AUD/USD pair is ending the day with modest losses around 0.6860, and the 4-hour chart shows that it’s holding above its 20 SMA, which retains its bullish stance. Technical indicators in the mentioned chart have continued retreating from overbought readings, with the Momentum approaching its mid-line but the RSI holding around 60, suggesting limited selling interest at the time being.

Support levels: 0.6850 0.6820 0.6795

Resistance levels: 0.6900 0.9630 0.6960

View Live Chart for the AUD/USD

Author

Valeria Bednarik

FXStreet

Valeria Bednarik was born and lives in Buenos Aires, Argentina. Her passion for math and numbers pushed her into studying economics in her younger years.

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