AUD/USD: Range play continues even as Aussie bond yields hit 3.5-month high

  • AUD/USD remains trapped in 0.6930-6877 trading range. 
  • The Aussie 10-year yield has hit the highest level in over three months. 
  • The low odds of a year-end RBA rate cut favor upside break. 

The AUD/USD pair remains trapped in a narrow range despite the uptick in the Aussie government bond yields. 

The pair is currently trading largely unchanged on the day at 0.6896, having hit a low of 0.6886 a few minutes before press time. Notably, the pair has been restricted to a range of 0.6930-0.6877 since Oct. 31.

A range breakout looks likely if we take into account the multi-month highs in the Aussie government bond yields. The 10-year yield is currently trading at 1.254%, the highest level since July 25, representing a 17 basis point gain on the low of 1.08 registered on Nov. 1.

So far, however, the rise in the Aussie government bond yields has failed to put a strong bid under the AUD and so has the easing of US-China trade tensions. 

That said, the probability of an upside move still looks strong, courtesy of the falling odds of a year-end rate cut by the Reserve Bank of Australia. The market is currently pricing just 23% chance of a rate cut in December. The central bank kept rates unchanged on Tuesday and sounded less dovish by signaling a pause in rate cut cycle. 

Technical levels


Today last price 0.6897
Today Daily Change 0.0003
Today Daily Change % 0.04
Today daily open 0.6894
Daily SMA20 0.6832
Daily SMA50 0.6804
Daily SMA100 0.685
Daily SMA200 0.6953
Previous Daily High 0.6929
Previous Daily Low 0.686
Previous Weekly High 0.693
Previous Weekly Low 0.681
Previous Monthly High 0.693
Previous Monthly Low 0.667
Daily Fibonacci 38.2% 0.6903
Daily Fibonacci 61.8% 0.6886
Daily Pivot Point S1 0.686
Daily Pivot Point S2 0.6825
Daily Pivot Point S3 0.6791
Daily Pivot Point R1 0.6929
Daily Pivot Point R2 0.6963
Daily Pivot Point R3 0.6998



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

EUR/USD bounces after upbeat COVID-19 cure news

EUR/USD is trading above 1.13, rebounding from the lows. Gilead reported that its drug Remdesevir substantially reduces mortality among COVID-19 patients. The news boosted stocks and weighed on the dollar. US coronavirus statistics are due out.


GBP/USD recaptures 1.26 as the market mood improves

GBP/USD is trading above 1.26 as the market mood improves and the safe-haven dollar retreats. Investors are shrugging off Brexit concerns and focusing on hopes to cure coronavirus. US COVID-19 statistics are due out.


XAU/USD consolidates daily gains above $1,800

After advancing to its highest level since September of 2011 at $1,818 on Wednesday, the XAU/USD pair staged a correction and briefly dropped below $1,800 on Thursday.

Gold News

Cryptocurrencies: War for dominance hit the bedrock of the market

Bitcoin tried to regain market share and activated sales in the Altcoin segment. BTC/USD, ETH/USD and XRP/USD are looking for supports and a rebound to push them to new elative highs. The current compression on the XRP/USD chart could trigger an exploding movement.

Read more

WTI once again breaks $40 per barrel after trading lower in early EU trade

There has been quite the bounce in WTI since the EU session after some strong selling pressure during Thursday and overnight. Once again on Friday's session, the price has taken the USD 40 per barrel handle. 

Oil News