Aussie Holds Bullish Bias as Dollar Weakness Fuels 0.72715 Retest

AUD/USD Heat Map Shows Aussie Strength as Dollar Softens

AUD/USD is up over 0.25% against the US Dollar, one of the stronger USD crosses on the heat map. Trailing the GBP/USD. The latest news is also lining up with the overall USD softness. Reuters reported that the dollar weakness is due to the markets staying cautiously optimistic that the US-Iran ceasefire can hold.

AUD/USD Gains as Risk Appetite Improves

Currency Heat Map

Source: TradingView

AUD/USD Renko Pullback Test Short-Term Trend Support

AUD/USD cooled down after going after the 0.72715 resistance level. It’s kind of hard to breakout through these levels in 1 shot so this is all part of being in an overall uptrend. The price ebbs and flows. The Supertrend has flipped negative with the Z-Score SMA also trending lower. The RSI has crossed back over 50 so that is a bit of a positive. And the FX pair still remains in an overall uptrend. A Supertrend flip back to positive and a Z-Score SMA turning back upwards would signal that AUD/USD is ready to retest the 0.72715 resistance.

AUD/USD Cools After Recent Renko Breakout

AUD/USD 0.001-Brick Renko

Source: TradingView

The Verdict

Current Trend Direction: Bullish

Bias: Positive

Support Levels: 0.6833,0.70305

Resistance Levels: 0.72715, 0.74070

Medium Term Path: I expected AUD/USD to move higher but obviously not in a straight line. The broader trend remains bullish which is supported by Dollar weakness due to improved risk appetite. From the Renko chart there only seems to be a bit of digestion and the uptrend and breakout of the 0.72715 levels should be in a matter of days. Perhaps weeks.