AUD/USD Forecast: Keeps Pressuring Its Highs, Has Room To Break Beyond April 2018 High

AUD/USD Current Price: 0.7771

• Crude oil and gold surged, backing commodity-linked currencies.
• Australia will publish the December  Commonwealth Bank Services PMI.
• AUD/USD keeps pressuring its highs, has room to break beyond April 2018 high.

The AUD/USD pair reached a fresh multi-year high of 0.7772 this Tuesday, ending the day a few pips below it. The Aussie surged during the American afternoon, as a mild improvement in the market’s sentiment resulted in another greenback’s sell-off. Commodity-linked currencies were among the best performers, finding support in oil prices, as WTI surged to $50.00 a barrel after the OPEC+ reached a deal on production cuts. Meanwhile, gold surged to $1,950.00 a troy ounce, its highest in two months.

Australia will publish this Wednesday the December Commonwealth Bank Services PMI, foreseen unchanged at 57.4, and the Composite PMI for the same month, previously at 57. Later into the session, China will release the Caixin Services PMI, expected at 51 from 57.5 previously.

AUD/USD Short-Term Technical Outlook

The AUD/USD pair keeps pressuring the daily high, and could extend its rally once above 0.7812, April 2018 monthly high. The 4-hour chart shows that the pair met buyers around a bullish 20 SMA, while technical indicators have lost their bullish momentum, but hold well above their midlines. Beyond the 0.7810 price zone, the pair has quite a clear path towards the 0.7900 level.

 Support levels: 0.7740 0.7700 0.7660

Resistance levels: 0.7780 0.7815 0.7850  

View Live Chart for the AUD/USD