AUD/USD extends bullish run beyond 0.7450

The Aussie is building onto yesterday’s gains and takes-out Wednesday’s high, as sentiment turns favorable towards emerging market currencies amid a retreat in the US treasury yields.

AUD/USD looks to regain 0.75 handle

Currently, the AUD/USD pair jumps +0.78% to hit fresh six-day highs of 0.7466, bouncing-off lows reached at 0.7400.  The AUD/USD pair stands resilient to slightly risk-averse market condition, which weighs down on the US treasury yields, dragging the US dollar index as well. Moreover, a solid recovery staged by gold prices, also lends support to the renewed upside in the resource-linked AUD.

Calendar-wise, the AUD/USD pair will take cues from the upcoming US economic data due to be reported in the NA session, as attention now turns an action-packed calendar scheduled for release next week. We have the highly-influential US NFP data and Australian private capex numbers.

AUD/USD Levels to watch   

The pair finds the immediate resistance at 0.7505 (Nov 17 high) above which gains could be extended to the next hurdle located 0.7527 (20-DMA) and 0.7583 (50-DMA). On the flip side, the immediate support located 0.7414/06 (10 & 5-DMA). Selling pressure is likely to intensify below the last, dragging the Aussie to 0.7371 (daily S1) and below that at 0.7325 (Nov 18 low).

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