AUD/USD approaches a key resistance level, can buyers find enough conviction to break the bearish hold?
Buyers are continuing to keep the upside momentum from last week as price is now challenging a move above the 100-day MA (red line) @ 0.6858.
If they can hold a break above that, it will see the bearish bias broken for the first time since late July this year.
Looking beyond the 100-day MA, buyers will also need to contend with resistance around 0.6892-95 from the broken trendline resistance as well as the September high. Offers around 0.6900 are also likely to come into play if we do get there.
For now, price action on the day remains somewhat tepid as the aussie is just about 0.1% higher against the dollar only. The risk mood isn't suggestive of any major swings to start the week but a lot still can change during the day.
As such, keep an eye out on the levels above as highlighted for any further upside extension. With regards to any reversal, sellers have plenty of work to do as they need to drive price back below 0.6800 to feel more comfortable about shifting the near-term bias.
