AUDUSD Propels to Session High Past 0.7620 Amid US Stimulus Progress

AUDUSD Price Analysis – December 17

The AUDUSD propels to a session high past 0.7620 during the European session while extending its four-day in a row winning traction. The US stimulus progress is responsible for the US dollar’s slide and may be mainly attributed to the optimism over the progress on a US $900 billion covid aid package.

Key Levels
Resistance Levels: 0.7750, 0.7635, 0.7620
Support Levels: , 0.7571, 0.7413, 0.7340
AUDUSD Long term Trend: Bullish
As seen on the daily charts, AUDUSD bulls need a sustained break above the 0.7620 level to confirm the bullish pattern. The 0.7750 areas are also an obstacle to growth. Meanwhile, a pullback below the 5 moving average at 0.7550 may initially nullify the bullish sentiment and send AUDUSD mid-term sellers to a weekly low around 0.7500.

In a broader context, sustained trading past horizontal resistance at 0.7620 is a sign of medium-term bullish sentiment. However, AUDUSD may need to reverse the 38.2% retracement from 1.1079 high to 0.5506 low at 0.7635 to finally signal the end of a long-term downtrend from 1.1079. A deviation from the 0.7635 level would instead maintain a long-term bearish trend.
AUDUSD Short term Trend: Bullish
The AUDUSD rally continues, reaching a temporary high of 0.7627. Intraday bias is back to the pivotal 0.7635 barriers. A decisive breakout could lead to stronger bullish consequences. The next target is the 61.8% forecast from 0.5506 to 0.7413 levels from 0.7001 at 0.7750 levels.

On the other hand, a break of the 0.7507 support level is needed to indicate a short-term peak. On the contrary, in the event of a pullback, the trend may remain bullish. Technically, the uptrend line, currently near the 0.7300 level, could support the AUDUSD bulls. However, any move down below the level could spur the bears.

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