AUD/USD tests 0.7300 and retreats

FXStreet (Mumbai) - AUD/USD bounces-off a brief dip to the key support located near 0.7270 region, the confluence of 5-DMA and hourly 50-SMA, and now tries hard to regain 0.73 barrier.

AUD/USD trades below 0.73 handle

Currently, the AUD/USD pair trades 0.14% lower at 0.7286, unable to break beyond daily highs posted at 0.7298. The Aussie remains capped below 0.73 handle as we progress towards the European open, having failed another attempt to regain the last.

The AUD/USD pair remains pressured and reverses a small portion of the previous rally as the oil prices fell back in the red after a limited short squeeze seen on Tuesday. Moreover, a favourable sentiment towards the US dollar in anticipation of stronger US housing data later today, also keeps the prices undermined.

AUD/USD Levels to watch

The pair retreats from multi-week highs and finds the immediate support located at 0.7273/72 (5-DMA/ hourly 50-SMA). Selling pressure is likely to intensify below the last, dragging the Aussie to 0.7226/20 (20-DMA/ 1h 200-SMA). On the flip side, the immediate resistance is seen at 0.7300 (round number) above which gains could be extended to the next hurdle located at 0.7346 (200-DMA).