AUD/USD advances to fresh session highs above 0.7700

AUD/USD is posting modest recovery gains following Friday's drop.
US Dollar Index is moving sideways around 90.50 on Monday.
Market action is likely to remain subdued in the remainder of the day.

Eren Sengezer FXStreet

After losing 50 pips on Friday, the AUD/USD pair started the new week in a calm manner before edging modestly higher during the European trading hours. As of writing, the pair was trading at a fresh session high of 0.7720, rising 0.18% on a daily basis. Nevertheless, in the absence of significant fundamental drivers, the pair's rebound seems to be a correction of its latest drop.

Markets stay quiet ahead of key events

There won't be any high-tier macroeconomic data releases featured in the US economic docket on Monday and investors are likely to refrain from taking large positions ahead of Tuesday's Retail Sales data and Wednesday's FOMC's policy announcements.

Currently, the US Dollar Index is consolidating last week's gains, moving sideways around last Friday's closing level of 90.50.

Meanwhile, US stock index futures are also trading little changed on the day, suggesting that the risk perception will not able to provide a directional clue to AUD/USD either.

On Tuesday, the Reserve Bank of Australia will release the minutes of its latest meeting. A hawkish tone could provide a temporary boost to the AUD.

Technical levels to watch for

AUD/USD

Overview
Today last price	0.7719
Today Daily Change	0.0011
Today Daily Change %	0.14
Today daily open	0.7708

Trends
Daily SMA20	0.7741
Daily SMA50	0.7735
Daily SMA100	0.7727
Daily SMA200	0.7546

Levels
Previous Daily High	0.7776
Previous Daily Low	0.7687
Previous Weekly High	0.7794
Previous Weekly Low	0.7687
Previous Monthly High	0.7892
Previous Monthly Low	0.7674
Daily Fibonacci 38.2%	0.7721
Daily Fibonacci 61.8%	0.7742
Daily Pivot Point S1	0.7671
Daily Pivot Point S2	0.7635
Daily Pivot Point S3	0.7582
Daily Pivot Point R1	0.776
Daily Pivot Point R2	0.7813
Daily Pivot Point R3	0.7849

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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