AUD/USD rises to three-week highs near 0.6250

Aussie holds on to gains despite Australian data and downgrade.
AUD/USD improves technical outlook after breaking last week highs.

Matías Salord FXStreet

The AUD/USD pair broke above 0.6210/15 and climbed to 0.6237, reaching the highest level since March 16. The latest leg higher took place as equity prices in Wall Street extended gains. The Aussie remains among the top performer on Wednesday despite weaker than expected Australian data and the downgrade.

Improvement in market sentiment

The Dow Jones is rising 2.65% and the Nasdaq gains 2.15%. The decision of Bernie Sanders to end his 2020 presidential campaign boosted prices further. As US stocks printed fresh highs, AUD/USD rose further also supported by technical factors after breaking above the Tuesday and last week highs.

Earlier on Wednesday, housing data in Australia came in below expectation, and S&P cut Australia’s credit rating outlook AAA from stable to negative. The aussie was affected only for a few minutes.

The key driver in the weekly rally of AUD/USD is the improvement in market sentiment and a weaker US dollar across the board. The DXY is up 0.17% after trimming most of its daily gains and holding in positive territory because of the slide of EUR and CHF.

Technical levels

AUD/USD

Overview
Today last price	0.6223
Today Daily Change	0.0054
Today Daily Change %	0.88
Today daily open	0.6169

Trends
Daily SMA20	0.6052
Daily SMA50	0.6412
Daily SMA100	0.664
Daily SMA200	0.6739

Levels
Previous Daily High	0.6209
Previous Daily Low	0.6074
Previous Weekly High	0.6214
Previous Weekly Low	0.598
Previous Monthly High	0.6686
Previous Monthly Low	0.5509
Daily Fibonacci 38.2%	0.6157
Daily Fibonacci 61.8%	0.6126
Daily Pivot Point S1	0.6092
Daily Pivot Point S2	0.6016
Daily Pivot Point S3	0.5957
Daily Pivot Point R1	0.6227
Daily Pivot Point R2	0.6286
Daily Pivot Point R3	0.6362

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

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