Chart - Courtesy Trading View
AUD/USD was trading 0.15% higher on the day at 0.6744 at around 05:40 GMT.
The pair has ignored a gravestone Doji formation on the previous session's candle and is holding marginal gains.
Price action is in the green despite the risk-aversion theme in the global market, led by a sheer spike in Covid-19 infections in China.
US Treasury yields retreat. Fed’s ultra-hawkish policy has resulted in a sheer decline in US Pending Home Sales data.
Data released by the National Association of Realtors on Wednesday showed US Pending Home Sales declined by 4% MoM in November, missing expectations for an expansion of 0.6%.
AUD/USD extends sideways at 21-EMA suport. Bearish RSI divergence keeps scope for downside. Gravestone Doji formation adds to the downside bias.
Major Support Levels:
S1: 0.6716 (21-EMA)
S2: 0.6672 (55-EMA)
Major Resistance Levels:
R1: 0.6734 (20-DMA)
R2: 0.6841 (Upper BB)
Summary: AUD/USD trades with a neutral bias. Break below 21-EMA will drag the pair lower.
