AUD/USD (current price: 0.7663)
The short-term advancing trend is still intact in the pair, despite the recent relative weakness of the Aussie that we have been monitoring. The commodity currency might be hit hard if today’s decline in oil will be followed by more weakness in the coming sessions. The 200-day MA is turning higher for the pair, but the all important indicator is still at 0.725, warning of a possible correction from the current levels. AUD/USD remains short-term overbought with support zones found at 0.76 and 0.75 respectively.
Our assessment: The Aussie is trading close to its recent highs, as the currency benefited from the rebound in oil in the last two months. The next few sessions might prove crucial as the pair is expected to test the rising trend-line.
