FxWirePro: AUD/USD edges higher on upbeat China services PMI data, good to buy dips
AUD/USD rebounds from session lows at 0.7510 following the release of the Chinese services PMI report. Data showed that China services sector activity expanded from 51.2 in Feb to 52.2 in Mar, highlighting that the recen…
AUD/USD rebounds from session lows at 0.7510 following the release of the Chinese services PMI report.
Data showed that China services sector activity expanded from 51.2 in Feb to 52.2 in Mar, highlighting that the recent stimulus measures by the Chinese central bank are yielding results.
Dismal Australia trade data along with widespread risk aversion and RBA rate decision had seen heavy losses in the pair over the last two trading sessions.
AUD/USD was at the time of writing trading at 0.7561, with immediate resistance at 0.7570 (4H 10 SMA) and support at 0.7543 (4H 5 SMA).
Technical indicators on the 2 hourly charts show scope for some upside - Stochs have rolled over from oversold, RSI points north, 5-DMA bullish crossover on 10-DMA and MACD line bullish crossover on signal line.
RBA’s assistant governor Kent's speech will be watched, while the main focus remains on the FOMC minutes release amid an otherwise data-empty US session.
Recommendation: Buy AUD/USD dips around 0.7555/60, SL: 0.7530, TP: 0.7595
