AUD/USD consolidates daily gains around 0.7470, eyes on US data

AUD/USD is clinging to strong daily gains on Tuesday.
Upbeat market mood is helping AUD find demand.
US Dollar Index remains on the back foot ahead of mid-tier data.

Eren Sengezer FXStreet

After managing to close near 0.7400 on Monday, the AUD/USD pair regained its traction during the Asian trading hours on Tuesday and climbed to its highest level since early September at 0.7476 before going into a consolidation phase. As of writing, the pair was up 0.78% on a daily basis at 0.7468.

DXY turns south as risk flows return

The positive shift witnessed in market sentiment seems to be boosting AUD/USD on Tuesday. Reflecting the upbeat mood, US stock index futures are up between 0.4% and 0.5%, suggesting that Wall Street's main indexes remain on track to open in the positive territory. On the flip side, the greenback is struggling to find demand as a safe haven and the US Dollar Index (DXY) is losing 0.4% at 93.57.

Earlier in the day, the Reserve Bank of Australia's (RBA) meeting minutes didn't offer any fresh insights into the bank's policy outlook. The RBA reiterated that the economic activity is expected to return to pre-pandemic levels in the second half of 2022 and added that they don't expect to reach the inflation target until 2024.

Later in the session, September Housing Starts and Building Permits data from the US will be looked upon for fresh impetus.

On Wednesday, the Westpac Leading Index for September will be featured in the Australian economic docket.

Technical levels to watch for

AUD/USD

Overview
Today last price	0.7468
Today Daily Change	0.0057
Today Daily Change %	0.77
Today daily open	0.7411

Trends
Daily SMA20	0.73
Daily SMA50	0.7309
Daily SMA100	0.741
Daily SMA200	0.7569

Levels
Previous Daily High	0.7438
Previous Daily Low	0.7378
Previous Weekly High	0.7441
Previous Weekly Low	0.7291
Previous Monthly High	0.7478
Previous Monthly Low	0.717
Daily Fibonacci 38.2%	0.74
Daily Fibonacci 61.8%	0.7415
Daily Pivot Point S1	0.738
Daily Pivot Point S2	0.7349
Daily Pivot Point S3	0.732
Daily Pivot Point R1	0.744
Daily Pivot Point R2	0.7469
Daily Pivot Point R3	0.75

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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