AUD/USD: rejected at 10-DMA, surrenders gains

AUD/USD pair has surrendered gains after failing to sustain above 10-DMA level of 0.7442 levels.

Trades below 100-DMA

The spot is now trading just below 100-DMA level of 0.7422. Heightened political uncertainty in Europe following Brexit and the resulting losses in oil prices at both the sides of the Atlantic is weighing over the commodity dollars in Asia.

Australian economic calendar is empty today; hence the pair remains at the mercy of the overall market sentiment and oil prices. Later in the day, US goods trade balance, PMI indices and regional manufacturing index could influence the pair.  

AUD/USD Technical Levels

The immediate hurdle is noted at 0.7422 (100-DMA), above which the pair could target 0.7450 (38.2% of 0.6827-0.7835). A break higher would expose 0.7490 (5-DMA). On the lower side, 0.7400 is the immediate support, which if breached shall open doors for a drop to 0.7360 (June 17 low) and 0.7331 (50% of 0.6837-0.7835).