AUD/USD hovers above 100-day SMA

AUD/USD extended its advance on Monday and rose above the 100-day SMA to fresh 10-day highs as risk sentiment improved despite disappointing Chinese data.

AUD/USD climbed nearly 80 pips throughout the day to a high of 0.7171 before finding resistance and losing momentum. Having spent the last hours in a slim range near highs, AUD/USD is currently trading at 0.7155, up 0.77% on the day.

From a wider view, the Australian dollar has been on recovery mode ever since hitting a 7-year low of 0.6826 last month. However, the recovery has remained capped by the 0.7240/50 zone.

AUD/USD levels to watch


As for technical levels, the pair could find immediate resistances at 0.7171 (Feb 15 high), 0.7217 (Feb 5 high) and the key 0.7242 (Feb 4 high). On the flip side, supports are seen at 0.7057 (20-day SMA), the 0.6983/73 zone (Feb 11 & 9 lows) and 0.6918 (Jan 26 low).

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