AUD/USD: Closing break above 0.7138 to open up 0.7284/7306 – Credit Suisse

AUD/USD has surged higher over the past few sessions. Economists at Credit Suisse stick with their bullish bias and look for further gains.

Short and medium-term momentum still rising 

“Medium-term moving averages are close to seeing a bullish cross higher and short-term MACD momentum is very strong, whilst the market is also threatening to break key resistance at 0.7138. A close above here would open up a move to our core objective at 0.7284/7306 next.”

“Near-term support moves to 0.7061, below which would suggest a retest of the breakout point at 0.6904/6854. However, only a stable close below the 200DMA at 0.6811 would speak in favor of a more neutral and choppy trading environment, with next support below seen at the 55DMA at 0.6798.”