• FxWirePro: AUD/USD retraces from session lows, Aussie finds bids following big beat on Australian retail sales

    Source: FxWire Pro - Technicals / 22 Nov 2020 11:41:34   America/New_York

    AUD/USD chart - Trading View 

    AUD/USD has erased early losses from session lows at 0.7266 and was trading 0.05% higher on the day at 0.7287 at around 04:10 GMT.

    The Australian dollar found bids following a big beat on Australian Retail Sales data. 

    Data released earlier today showed Australia's Retail Sales rose 1.6% month-on-month in October, beating forecast at 0.3% and followed September's 1.1% contraction. 

    Adding to the Aussie's support was the People's Bank of China (PBOC) which kept rates unchanged at 3.85% early today in a sign of confidence in the economic recovery.

    That said, further gains are likely to be limited amid broad risk aversion triggered by US Treasury Secretary Steven Mnuchin's decision to pull the plug on the pandemic relief for struggling businesses. 

    Technically the pair trades with a bullish bias. Price action finds immediate resistance at 0.7288 (nearly converged 55 and 110 hour EMAs). Break above will see further upside. 

    On the flipside, 200W MA is major support at 0.7238. Break below will negate any further bullishness. 
     

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