AUD/USD eases from two-week highs

AUD/USD has backed off from the two-week highs possibly due to an uptick in the treasury yields.
The pair has retraced 50 percent of the drop from the Aug. 28 high of 0.7362.

Omkar Godbole FXStreet Contributor

Currently, the AUD/USD pair is trading at 0.7216, having clocked a two-week high of 0.7234 earlier today.

The currency posted solid gains on Tuesday, despite escalating US-China trade tensions and rising treasury yields, likely due to a 3 percent rise in NY copper and recovery in Chinese yuan.

However, as of writing, the focus seems to have shifted to a rise in the 10-year treasury yield to a four-month high of 3.06 percent.

Looking forward, the AUD could find acceptance above 0.7224 (50% Fib R of 0.7362/0.7085) if the CNY prints gains and the global equities remain bid.

AUD/USD Technical Levels

Resistance: 0.7238 (Aug. 24 low), 0.7256 (61.8% Fib R of 0.7362/0.7085), 0.7307 (50-day moving average)

Support: 0.7191 (5-day moving average), 0.7142 (Sept. 17 low), 0.71 (psychological level)

	TREND INDEX	OB/OS INDEX	VOLATILY INDEX
15M	Bearish	Oversold	Shrinking
1H	Bearish	Neutral	Shrinking
4H	Bearish	Overbought	High
1D	Bullish	Neutral	Expanding
1W	Bullish	Oversold	High
Updated Sep 19, 02:00 GMT

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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