AUD/USD climbs above 0.6800, looks to snap five-day losing streak

US Dollar Index retreats to 98 area on Friday.
Industrial Production in US declines more than expected.
Hopes of the US and China reaching a trade deal helps AUD find demand.

Eren Sengezer FXStreet

The AUD/USD pair gained traction in the American trading hours on Friday and rose above the 0.6800 handle boosted by renewed hopes of the United States and China coming to terms on trade. As of writing, the pair was trading at 0.6804, adding 0.27% on a daily basis. Despite today's rebound, the AUD/USD pair remains on track to post weekly losses for the second straight week.

In an interview with Fox Business Network on Friday, United States Commerce Secretary Wilbur Ross said that there will be a call on trade between officials on Friday and noted that there was a very high probability that they will be able to reach a trade deal with China.

USD comes under pressure amid uninspiring data

On the other hand, today's data from the US revealed that Industrial Production and Manufacturing Production declined 0.8% and 0.6%, respectively, in October to hurt the greenback. The US Dollar Index, which spent a large portion of the day moving sideways near the 98.20 mark, came under pressure and was last seen testing the 98 handle, erasing 0.15% on a daily basis. Although other data showed that Retail Sales rose slightly more than expected in October, it failed to help the USD find demand.

Technical levels to watch for

AUD/USD

Overview
Today last price	0.6804
Today Daily Change	0.0018
Today Daily Change %	0.27
Today daily open	0.6786

Trends
Daily SMA20	0.6861
Daily SMA50	0.6817
Daily SMA100	0.6844
Daily SMA200	0.694

Levels
Previous Daily High	0.6842
Previous Daily Low	0.6769
Previous Weekly High	0.6929
Previous Weekly Low	0.6847
Previous Monthly High	0.693
Previous Monthly Low	0.667
Daily Fibonacci 38.2%	0.6797
Daily Fibonacci 61.8%	0.6814
Daily Pivot Point S1	0.6756
Daily Pivot Point S2	0.6726
Daily Pivot Point S3	0.6683
Daily Pivot Point R1	0.6829
Daily Pivot Point R2	0.6872
Daily Pivot Point R3	0.6902

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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