AUD/USD chart - Trading View
AUD/USD is extending recovery as the the pair closes down the gap down open.
Aussie remains bid after the People's Bank of China's (PBOC) status quo rate decision.
China's central bank kept the one-year and five-year loan prime rates unchanged at 3.85% and 4.65%, respectively, as widely expected.
The pair initially gapped lower, tracking the decline in the S&P 500 futures. But was trading 0.43% higher at 0.6861 at around 04:00 GMT.
The pair finds strong support at 21-EMA. Price action has failed to slip below 0.68 handle.
RSI is well above the 50 mark. But Stochs are biased lower and a bearish divergence on Stochastics could see more weakness.
That said, major trend as evidenced by the GMMA indicator is bullish and bounce off 21-EMA raises scope for upside resumption.
