- AUD/USD retreats after refreshing one-week high, mildly bid of late.
- Bullish MACD signals, upbeat RSI (14) keeps Aussie pair buyers hopeful.
- Convergence of 200-DMA, monthly triangle’s upper line restrict immediate advances.
- Bears remain off the table unless breaking 0.6520.
AUD/USD pares intraday gains around 0.6720, following the run-up to refresh weekly top to near 0.6740, as markets brace for the key US inflation clues during early Friday. Even so, the Aussie pair remains inside a monthly symmetrical triangle.
It’s worth noting that upbeat China PMI and broad US Dollar weakness, amid receding hawkish Fed bets, previously propelled the AUD/USD pair to renew a one-week high.
Even if the Aussie pair fades upside momentum ahead of the key data, bullish MACD signals join the above 50 levels of RSI (14), not overbought, to keep the buyers hopeful.
However, the 200-DMA and the stated triangle’s top line, close to 0.6750, appear a tough nut to crack for the AUD/USD bulls to crack.
Following that, a run-up towards the early February lows near 0.6855 and then to the last December’s high of around 0.6895 can’t be ruled out.
On the contrary, pullback moves need to defy the triangle formation, by slipping beneath the support line of 0.6660, to convince AUD/USD bears.
In that case, the 61.8% Fibonacci retracement of the pair’s November-February upside precedes the previous resistance line from February, respectively near 0.6610 and 0.6520, to challenge the AUD/USD sellers afterward.
AUD/USD: Daily chart
Trend: Further upside expected
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD recaptures 1.0700 ahead of key US data
EUR/USD is trading above 1.0700, staging a decent recovery despite soft inflation data from the Euro area. The Euro buyers cheer hawkish ECB commentary while the risk-positive market environment limits the USD's upside ahead of key US data.
GBP/USD rises above 1.2450 as risk flows dominate
GBP/USD is recovering above 1.2450 in the European session, as the US Dollar resumes its downside amid a risk-on market mood. Renewed dovish Fed expectations and US debt deal passage keep the US Dollar undermined ahead of the US ADP jobs and ISM Manufacturing PMI data.
Gold price rebounds toward $1,970 amid renewed US Dollar selling
Gold price is rebounding toward $1,970, having found strong bids near $1,950. The risk-on market profile is weighing on the US Dollar, enabling Gold price to attempt a recovery. The further upside, however, appears elusive amid rallying US Treasury bond yields. US data awaited.
Bitcoin likely to remain in red through the next quarter if history is any indication
Bitcoin (BTC) price produced a monthly close at $27,210, noting a -6.92% return for May. The last-minute slide in BTC put an end to the four-month bullish streak that kickstarted the 2023 rally.
C3.ai gets punched in the face, is the AI hype a bit overdone?
OMG! Stocks sold off on Wednesday….and NVDA? That stock gave back $15 or 3.8% - What is going on? That is not supposed to happen….it can only go up! Quick someone call the NVDA police!