FxWirePro: AUD/USD fades upbeat Australian Q3 CPI data led gains, retraces below 55-EMA

AUD/USD chart - Trading View 

AUD/USD was trading 0.23% lower on the day at 0.7111 at around 09:30 GMT, slips lower from session highs at 0.7157.

Risk-aversion amid fresh lockdowns likely to be imposed in France and Germany keep the Aussie under pressure. Upbeat Australian Q3 CPI data fails to offer any respite.

Data released earlier today showed Australia's Q3 CPI rose 1.6% quarter-on-quarter, beating estimates of 1.5% and following the second quarter's 1.9% contraction.

Upbeat data is unlikely to deter the RBA from postponing additional easing. Markets price in a 15bps cut in interest rates at Nov policy meet.

As the pair continues to trade capped between 55 and 110 EMAs, markets await a strong catalyst for a break from the weekly trading range.

Break below 110-EMA will see dip till 23.6% Fib at 0.6963 ahead of 0.6776 (June 15 low). On the flipside, break above 55-EMA finds next major resistance at daily cloud.