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Forex pairs in this Article » EUR/USD (Moscow) - AUD/USD is poking at the resistance of 0.8770/80 as the bullish dynamic is gaining traction during Asian hours.

AUD/USD bulls don’t want to give up so easily

AUD/USD regains ground after the heavy losses of the previous week. The currency pair was well bid on Monday and finished the day well above the resistance of 0.8700, close to the intraday high of 0.8755. The Aussie is moving upwards, though we believe that in the longer-term perspective the sentiment is still bearish. It is considered to be pretty oversold after dropping to 3.5 year lows at the end of last week, so the healthy correction won’t do any harm to the general trend. Moreover, the risk sentiments stabilized a bit, while risks of defaults in China shadow banking receded as PBOC is expected to inject 150 bn yuan to the financial system. From the technical point of view, should the cross clear the resistance of 0.8780, the level of 0.8800 will be the key. If it is broken, the upside may accelerate to the last week’s high at 0.8880. The support is seen at 0.8740, then followed by 0.8720.

What are today’s key AUD/USD levels?

Today's central pivot point can be found at 0.8727, with support below at 0.8697, 0.8643 and 0.8611, with resistance above at 0.8783, 0.8815 and 0.8869. Hourly Moving Averages are mostly bullish, with the 200SMA at 0.8794 and the daily 20EMA at 0.8858. Hourly RSI is neutral at 64.
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