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FxWirePro: AUD/USD trades in narrow range, downbeat Australian Q3 Construction Output data weighs

AUD/USD chart - Trading View 

AUD/USD was trading in a narrow range in the early Asian trade, with session high at 0.7373 and low at 0.7352.

The major was consolidating previous session's spike and technical bias remains bullish. Downbeat Australian Q3 Construction Output data released earlier today was weighing on the upside. 

Australia's Constriction Work Done for the third quarter (Q3) dropped to -2.3% QoQ, below -2.0% forecast and -0.7% prior.

Market’s optimism amid Biden transition kicking off and hopes of the coronavirus cure from global pharmaceutical companies keeps downside limited.

Price action is set to extend break above 200W MA. Bullish momentum and rising volatility to support upside.

Scope for test of 78.6% Fib at 0.7573. Daily cloud offers strong support, weakness only on break below. 

Support levels - 0.7317 (5-DMA), 0.7257 (21-EMA), 0.7237 (200W MA)

Resistance levels - 0.7413 (2020 high), 0.75 (psychological mark), 0.7573 (78.6% Fib)

Summary: Bullish technical indicators and fundamental support to push further gains in the pair. Scope for test of 75 levels. Bullish invalidation only below 200W MA. 

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