Description
⋅ AUD/USD has been extending gains from 4-month lows at 0.7328
Technical indicators have turned bullish. The pair is currently holding above 5-DMA.
We have seen a 'Bullish Bat Pattern' formation on daily charts, scope for further upside.
Broadly weaker US dollar, in the wake of downbeat US retail sales and CPI data, keep the recovery intact.
Support levels - 0.7374 (5-DMA), 0.7340 (trendline), 0.7329 (May 9 low)
Resistance levels - 0.7428 (23.6% Fib retrace of 0.7749 to 0.7328 fall), 0.7460 (20-DMA), 0.7490 (38.2% Fib and trendline)
Good to go long on dips around 0.74, SL: 0.7340, TP: 0.7460/ 0.75/ 0.7580