AUD/USD Extends Recovery On The Day Towards Key Near-term Resistance

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AUD/USD H1 22-06

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The aussie is continuing to recover from its opening gap lower today, rising to 0.6874 now after having began the day at the lows around 0.6805. The risk mood is faring better after a slower start with US futures also up on the day and that is underpinning the aussie.

AUD/USD is now moving back up to a test of its 100-hour MA (red line) @ 0.6875 and that alongside the 200-hour MA (blue line) @ 0.6888 will be key levels to watch.

Keep below the levels mentioned and sellers will retain a near-term bearish bias in the pair but break above that and buyers will start to wrestle back more near-term control.

Further resistance is then seen around 0.6900-12 should buyers try to push for a break above the key near-term resistance levels highlighted.

This week is going to be more of the same for the aussie and dollar as risk sentiment is likely to dominate everything else. The market is retracing some of the sour mood and jitters from the end of last week but let's see if that can continue in the coming sessions.