AUD/USD attacks 0.6700 amid a massive 1.50% sell off

AUD/USD is attempting a dead cat bounce above 0.6700.
The US Dollar demand remains unabated despite the risk rally.
The Aussie pair awaits the US Manufacturing data for some respite.

Dhwani Mehta FXStreet

AUD/USD is seeing a tepid bounce from one-week lows of 0.6695 but bulls remain cautious above the 0.6700 barrier. The US Dollar is holding the upper hand across the FX board so far this Tuesday, as investors look for solace in the greenback on the first trading day of the year.

China’s covid concerns, high inflation and risks of an imminent recession worldwide have continued to sap investors’ confidence. Markets could be creating fresh US Dollar positions to fend off those risks while gearing up for a fresh economic release from the US later this Tuesday. The US S&P Global Manufacturing PMI will be published in the American session alongside a few minority reports.

Meanwhile, the Aussie fails to capitalize on the risk flows and upbear Chinese Caixin Manufacturing PMI data, as the US Dollar strength remains the main market driver, thus far. China's Caixin Manufacturing PMI for December dropped to 49.0 vs. 48.8 expected and 49.4 previous.

AUD/USD: Technical levels to consider

AUD/USD

Overview
Today last price	0.6715
Today Daily Change	-0.0087
Today Daily Change %	-1.28
Today daily open	0.6805

Trends
Daily SMA20	0.6744
Daily SMA50	0.6655
Daily SMA100	0.664
Daily SMA200	0.686

Levels
Previous Daily High	0.6825
Previous Daily Low	0.6793
Previous Weekly High	0.6821
Previous Weekly Low	0.671
Previous Monthly High	0.6893
Previous Monthly Low	0.6629
Daily Fibonacci 38.2%	0.6805
Daily Fibonacci 61.8%	0.6813
Daily Pivot Point S1	0.679
Daily Pivot Point S2	0.6776
Daily Pivot Point S3	0.6759
Daily Pivot Point R1	0.6822
Daily Pivot Point R2	0.6839
Daily Pivot Point R3	0.6853

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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