AUD/USD: Turns positive short term - FXStreet

FXStreet (Bali) - Valeria Bednarik, Chief Analyst at FXStreet, shares her outlook on the AUD/USD, noting that further gains should be expected if the pair manages to settle above the 0.7700 level.

Key Quotes

"The Australian dollar was benefited by the dollar's weakness, with the AUD/USD pair recovering up to the 0.7700 level. The Aussie however, was the only currency that stalled short from recovering post-NFP losses."

"During the upcoming Asian session, Australia will release the National Australia Bank's confidence index, whilst China will report its inflation readings for May, set to imprint volatility to the currency."

"In the meantime, the short term picture favors the upside, as the price has extended strongly above its 20 SMA, now gaining bullish slope around 0.7665, whist the technical indicators maintain their positive tone near overbought territory."

"In the 4 hours chart, the price is now above a still bearish 20 SMA, currently around 0.7670, while the technical indicators are heading strongly higher after crossing their mid-lines towards the upside."

"Further gains should be expected if the pair manages to settle above the 0.7700 level, although a stronger resistance comes at 0.7740, with a break above this last required to confirm a firmer advance in the pair towards the 0.7800 region."

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