FxWirePro: AUD/USD hovers around 20-DMA at 0.7575, good to go long on close above

• AUD/USD is extending gains for 3rd consecutive session, is trading 0.28% higher on the day at around 0.7577 levels.
   
• Upbeat Australia macro news and broad-based USD correction keeping the pair supported.
   
• Australia consumer confidence surprised to the upside, with the Westpac Melbourne Institute Index of Consumer Sentiment up 3.6% to 103.3 in December from 99.7 in November.
   
• It was only for the second time this year that Australia's consumer confidence printed over 100.
   
• The pair has been on a downward spiral since Sept 2017 and any upside is likely to be limited.
   
• Bullish divergence on RSI and Stochs raises scope for some upside. We see reversal in trend only on breakout above 200-DMA at 0.7690.


• Focus now on the US CPI report and FOMC rate decision ahead of the Australian employment data due out tomorrow for further direction.

Support levels - 0.7536 (5-DMA), 0.75 (78.6% Fib retrace of 0.73285 to 0.81250 rally), 0.7419 (88.6% Fib), 0.74

Resistance levels - 0.76, 0.7632 (61.8% Fib), 0.7670 (50 DMA)

Call update: Our previous call (http://www.econotimes.com/FxWirePro-AUD-USD-hits-fresh-2-week-lows-at-07542-Aussie-dented-on-poor-trade-balance-data-1046735) has hit TP1.

Recommendation: Good to go long on decisive close above 20-DMA at 0.7575, SL: 0.75, TP: 0.76/ 0.7630/ 0.7670.

FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 36.7209 (Neutral), while Hourly USD Spot Index was at -24.459 (Neutral) at 0540 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.

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