The Australian dollar was largely rangebound against the Greenback on Monday morning, was trading at 0.7331, having touched 0.7386 on Friday, a level not seen since August.
- Bull signs in the pair builds after it held above resistance and makes new trend high, 10-DMA exerts bull influence and RSIs are biased up with room to run.
- Strong support is seen on the downside at 0.7277 (converging 10 DMA and Tenkan-Sen). On the flipside, minor resistance is located at 0.7342 (Dec 2 highs) ahead of 0.7362 (Doudle top Dec 3 & Oct 15).
- This week, the focus will be on Australia's job report, a slew of Chinese data and the Reserve Bank of New Zealand's rate review.
Recommendation: We would go long any dips to 0.73 levels, SL: 0.7260, TP: 0.74
Resistance Levels:
- R1: 0.7386 (Session high Dec 4)
- R2: 0.7409 (Daily High Aug 13)
- R3: 0.7440 (Highs Jul 22, Aug 11)
Support Levels:
- S1: 0.7322 (Hourly low Dec 4)
- S2: 0.7280 (Session low Dec 4)
- S3: 0.7269 (10 DMA)
