FxWirePro: AUD/USD holds above 0.71 barrier, good to buy dips

The antipodeans had a subdued tone on Monday as investors showed caution following the Paris terror-strike which triggered risk-off sentiment.

• AUD/USD opened Monday's trade at 0.7106, down from a peak of 0.7160 on Friday, briefly below 0.7100 on broad US Dollar strength.
   
• AUD has been resilient in face of crumbling commodities/'risk-off', underpinning the Aussie was speculation the RBA would keep rates at 2 percent for the next couple of months at least.
   
• The pair is currently holding above the 0.71 barrier, trading at 0.7112, markets await European indices open up next.
   
• Strong support for the pair is located at 0.7090 (5 DMA, Trendline support), breaks below could take the pair to next support (Double bottom) at 0.7067.
   
• Daily price action has dipped below the cloud, hourly Tenkan at 0.7115 capping upside in the pair, next resistance is seen at 0.7120 (Daily Tenkan).

AUD/USD still looks a good buy on dips for the day, Entry around 0.7100 levels, SL: 0.7065 TP: 0.7150.

Resistance Levels:

R1:  0.7120 (Daily Tenkan)

R2: 0.7133 (Cloud Top)

R3: 0.7137 (50 DMA)

Support Levels:

S1: 0.7100 (10 DMA)

S2: 0.7090 (5 DMA, Trendline support) 

S3: 0.7067 (Double bottom 29th & 30 th Oct)