AUD/USD analysis: buyers defending 0.7800, bullish

Valeria Bednarik FXStreet

AUD/USD Current price: 0.7834

The positive tone in equities and commodities maintain the AUD afloat.
Investors waiting for upcoming US data to decide whether or not push it to 0.79.

The AUD/USD pair holds on to gains, above the 0.7800 level, having flirted with this last in thin Asian trading, amid a scarce local macroeconomic calendar. The pair recovered ground afterward but holds around Tuesday's close, helped by the positive tone in equities, which followed the lead of Wall Street. Gold and oil prices hold near their recent multi-month highs, adding support to the Aussie, despite the American dollar is currently advancing against its European rivals. The US session will bring several macro figures, with the ISM Manufacturing PMI and FOMC Minutes being the most relevant.

Technically, the pair presents a neutral-to-bullish stance in the short-term, as in the 4 hours chart, it met buying interest around a firmly bullish 20 SMA, while technical indicators hold within positive territory, but with upward strength. Tuesday's high was set at 0.7844, the immediate resistance and the level to surpass to confirm further gains ahead toward October high at 0.7896 first, and up to 0.7920 if the market resumes dollar's selling.

Support levels: 0.7800 0.7770 0.7745

Resistance levels: 0.7845 0.7895 0.7920

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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