AUD/USD upside capped by 100-day SMA

FXStreet (Córdoba) - AUD/USD found support at the 0.7800 level and entered a consolidation phase that has extended over the last sessions after falling sharply on Friday amid broad USD strength.

AUD/USD bottomed out at 0.7802 during the Asian session, extending Friday’s losses to a 20-day low as the greenback benefited from US CPI figures and Fed’s Yellen speech. With the subsequent bounce capped by 100-day SMA at the 0.7840 zone and amid low liquidity, the pair was confined to a sideways phase. At time of writing, AUD/USD is trading at 0.7830, little changed on the day.

AUD/USD technical perspective


From a technical perspective, Valeria Bednarik, chief analyst at FXStreet noted that the downside is favored on a break below the critical 0.7800 figure. Bednarik locates immediate support levels at 0.7800, 0.7775 and 0.7750, while she sees resistances at 0.7845, 0.7890 and 0.7930.

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