AUD/USD moves above its 100-hour moving average
The pair is continuing to find more momentum to the upside as the aussie is building on its gains from a push higher in AUD/NZD when the pair tested the 1.04 level earlier today.
Right now, the aussie has managed to work its way past both the 200-hour MA (blue line) and the 100-hour MA (red line) against the dollar as buyers seize back near-term control.
In overnight trading, buyers leaned on support close to the 0.6800 handle and that has helped to provide a platform to build on a move higher in trading today.
Looking ahead, there is minor resistance around 0.6837 next with further resistance seen closer to 0.6854-57 with the 3 December high @ 0.6862 a key level to watch.
The aussie is proving to be rather resilient in the wake of weaker economic data in the past week but I would still argue that any upside remains limited. Looking further out, there are a few option expiries to also be aware of over the next two days:
Thursday, 12 December
- 0.6835 (A$490m)
- 0.6875 (A$573m)
Friday, 13 December
- 0.6885 (A$548m)
- 0.6899-00 (A$672m)
For today, be wary of the Fed meeting in case of any surprises that could drive dollar sentiment. There's also US CPI data at 1330 GMT to watch out for before that.
