AUD/USD climbs to session tops, further beyond 0.6900 handle


  • RBA maintains status-quo and helped regain some positive traction.
  • US-China trade optimism/subdued USD demand remained supportive.
  • Traders now look forward to the US ISM PMI for some short-term impetus.

The AUD/USD pair built on its post-RBA intraday positive move, with bulls making a fresh attempt to build on the momentum further beyond the 0.6900 handle.
 
Following the previous session's pullback from the 0.6925-30 supply zone, the pair managed to catch some fresh bids on Tuesday after the Reserve Bank of Australia's (RBA) decided to maintain status quo and leave interest rates unchanged at its November meeting.

Combination of factors remain supportive

The decision was on expected lines, though the central bank's hawkish outlook turned out to be one of the key factors that provided a goodish lift to the Aussie. The central bank's base scenario is for inflation to pick up gradually and growth to rise to around 3% in 2021.
 
Against the backdrop of renewed optimism over a possible US-China trade deal, absent dovish signals from the RBA extended some support to the China-proxy Australian Dollar and helped the pair to regain some positive traction during the Asian session on Tuesday.
 
The US Commerce Secretary Wilbur Ross on Sunday said that the licenses for American companies to export certain technology products to China’s Huawei would be issued very shortly and added to the recent indications that a trade deal could be signed later this month.
 
The uptick was further supported by a subdued US Dollar price action. However, some follow-through pickup in the US Treasury bond yields might help revive the USD demand and cap gains for the major, making it prudent to wait for a sustained move beyond the mentioned support zone.
 
Moving ahead, Tuesday's US economic docket – highlighting the release of US ISM non-manufacturing PMI – will now be looked upon for some short-term trading impetus later during the early North-American session.

Technical levels to watch

AUD/USD

Overview
Today last price 0.691
Today Daily Change 0.0027
Today Daily Change % 0.39
Today daily open 0.6883
 
Trends
Daily SMA20 0.6824
Daily SMA50 0.6801
Daily SMA100 0.685
Daily SMA200 0.6954
 
Levels
Previous Daily High 0.6926
Previous Daily Low 0.6876
Previous Weekly High 0.693
Previous Weekly Low 0.681
Previous Monthly High 0.693
Previous Monthly Low 0.667
Daily Fibonacci 38.2% 0.6895
Daily Fibonacci 61.8% 0.6907
Daily Pivot Point S1 0.6864
Daily Pivot Point S2 0.6845
Daily Pivot Point S3 0.6814
Daily Pivot Point R1 0.6914
Daily Pivot Point R2 0.6945
Daily Pivot Point R3 0.6964

 

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News


Latest Forex News

Editors’ Picks

GBP/USD: Bears eye 1.25 as disappointing UK GDP knocks off yields

GBP/USD extends losses towards 1.2500, as the UK GDP disappointment weighs negatively on the 2-year Gilt yields. Broad US dollar strength amid risk-off mood also adds to the bearish pressure on the cable. 

GBP/USD News

EUR/USD under pressure below 1.1350 amid risk-aversion

EUR/USD remains pressured below 1.1350, as US dollar trades firmer amid broad risk-aversion. The German ZEW Survey to show signs of an economic turnaround. Heightened expectations for an EU fiscal stimulus plan could buoy the shared currency. 

EUR/USD News

Gold: $1796 is the level to beat for the XAU bears

Gold is trying hard to recover ground above the $1800 mark, as the US dollar continues to benefit from broad risk-aversion amid looming coronavirus risks. Let’s see how it is positioned ahead of the critical US CPI release.

Gold News

Forex Today: US dollar seizes control as risk aversion returns, a busy docket ahead

Broad US dollar strength extended into Asia, as risk-averse market conditions persisted amid intensifying coronavirus fears and US-China tensions. The Asian equities followed the late sell-off on Wall Street while the US stock futures struggled with its recovery.

Read more

WTI recovers from intraday low under $40.00 ahead of API inventories

WTI’s pullback from $39.30 fails to defy a two-day losing streak. China’s sustained increase in oil imports confronts chatter of easing output cuts. US inflation data, API stockpiles and American earnings are in the spotlight.

Oil News

Forex MAJORS

Cryptocurrencies

Signatures