Dollar firms to start the European morning session

Technical Analysis

Author: Justin Low | audusd

The greenback advances further against the rest of the major currencies bloc

AUD/USD H1 03-04
Dollar demand is creeping in to start the session as the greenback pushes gains across the board. Notably, EUR/USD has hit a fresh one-week low at 1.0800 while USD/JPY is climbing to a session high of 108.20 currently.

The greenback is also advancing against the risk/commodities bloc amid softer risk sentiment in Europe, with AUD/USD now falling to 0.6040 from around 0.6070 earlier.

Of note, the pair is now tracking back under its 200-hour MA (blue line) @ 0.6063 as sellers look to seize near-term control and test the 0.6000 handle moving forward.

That is the key line in the sand limiting any real downside momentum so far and a break below the figure level should open up the path for sellers to explore a potential drop towards 0.5900 and 0.5800 next.

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