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AUD/USD holds above 0.7150 as soft USD and risks weigh
The pair trades mildly bullish as long as it remains above the 200-period EMA near 0.7082, while expectations for a September Fed hike and rising US-Iran tensions help limit upside.
AUD/USD is holding above 0.7150 at the start of a new week, with the spot rate drawing some bids in the mid-0.7100s area and stalling a Friday retracement that followed the pair's highest level since mid-May, according to FXStreet.
FXStreet said the US Dollar has a mild negative bias below a two-week high, supporting AUD/USD, but the gains are capped by revived expectations for a September US Federal Reserve interest rate hike and escalating US-Iran tensions that tend to support the safe-haven USD.
Technically, FXStreet noted that AUD/USD keeps a near-term mildly bullish tone above the 200-period Exponential Moving Average at 0.7082. It added that momentum is subdued, with RSI around a neutral 46 and MACD slipping slightly into negative territory, signaling moderating upside pressure.
On the downside, FXStreet pointed to an immediate pivot around 0.7135 to 0.7130, followed by stronger structural support near the 200-period EMA. It said pullbacks are likely to attract buyers as long as AUD/USD holds above that average.