AUD/USD Outlook: Aussie maintains positive tone and pressures new multi-month high

Slobodan Drvenica Windsor Brokers

AUD/USD

The Australian dollar remains in green on Tuesday following strong rally in past three days and eyes 4 ½ week high at 0.6938 (13 Dec), as optimism on US/China trade deal keeps the Aussie inflated.
Monday’s 0.42% daily advance resulted in break and close well above 200DMA (0.6902) and generated bullish signal.
Violation of pivotal barriers at 0.6931/38 (Fibo 38.2% of 0.7393/0.6645 / 13 Dec spike high) would open psychological 0.7000 barrier (also weekly cloud base).
Sideways-moving daily momentum / RSI and overbought stochastic suggest that bulls may take a breather before final push higher, with holiday-thinned markets also expected to contribute.
Broken 200DMA is expected to keep the downside protected and guard trendline support (0.6874).

Res: 0.6931; 0.6938; 0.6959; 0.7000
Sup: 0.6912; 0.6902; 0.6886; 0.6974

Interested in AUD/USD technicals? Check out the key levels

1. R3 0.6974
2. R2 0.6951
3. R1 0.6937
PP 0.6914
1. S1 0.69
2. S2 0.6877
3. S3 0.6863

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

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