Chart - Courtesy Trading View
AUD/USD extends choppy trade around 21-EMA, sideways grind likely to continue.
Hopes for a strong economic recovery in China boost investors' confidence and remain supportive of the prevalent risk-on environment.
Comments from China's Premier Li Qiang, promising more stimulus to boost domestic spending and delivering reforms that can help stimulate growth fueled optimism across markets.
Steps taken by regulators seem to calm investor nerves for now. Focus has switched back to what the Fed is likely to do at its May policy meeting.
Markets are pricing in a 60% chance of the Fed keeping interest rates on hold at the May meeting, according to CME FedWatch tool.
Looking forward, focus is on US GDP, jobs data and personal consumption figures along with core personal consumption expenditure (PCE) number.
Support levels:
S1: 0.6683 (200H MA)
S2: 0.6664 (20-DMA)
Resistance levels:
R1: 0.6751 (200-DMA)
R2: 0.6765 (21-week EMA)
Technical Summary: AUD/USD trades with a neutral technical bias. The pair is likely to grind sideways below 200-DMA, decisive break above will support further gains in the pair.
