FxWirePro: AUD/USD starts the week on a positive note, encouraging China's coronavirus vaccine news lifts sentiment

AUD/USD chart - Trading View 

    * AUD/USD recovery tests 5-DMA, further upside possibility

    * Sentiment getting a lift as Covid-19 vaccine from China shows positive results in human trials

    *  U.S. Pending Home Sales data and Fed speech will impact price movement

A Covid-19 vaccine candidate developed by Chinese bio-pharmaceutical firm CanSino Biologics Inc in conjunction with a military research team has shown positive results in early human trials. Markets are currently cheering the positive news, but rising number of coronavirus cases in the US and other parts of the world will likely cap the upside. 

Technical Analysis: Bias Neutral

AUD/USD is extending choppy trade along 21-EMA support.

The major was trading 0.29% higher on the day after closing 0.37% lower in the previous session.

Price action is above cloud and 200-DMA and major bearishness only on break below.

Major trend as evidenced by the GMMA is bullish. That said, low volatility and bearish oscillators could see sideways grind for longer.

The major has seen multiple rejections at 110W EMA (currently at 0.6931). Decisive break above to see upside resumption.

Major Support: 0.6665 (200-DMA); Major Resistance: 0.6931 (110W EMA)