FxWirePro: AUD/USD partially recovers early losses on Iran news

• AUD/USD initially gained on Monday  but gave up ground as Iran conflict spooks markets  .

•  Over the weekend, the United States and Israel launched major military strikes on Iran, killing its Supreme Leader Ayatollah Ali Khamenei in an attack that hit key leadership and military targets.

•Despite markets showing only a cautious reaction so far, the risk of a prolonged war in the Middle East remains high, with President Donald Trump saying military operations in Iran could continue until all U.S. objectives are achieved.

• Looking ahead, the Reserve Bank of Australia (RBA) Governor Michele Bullock is scheduled to deliver a speech on Tuesday morning, where she’s likely to be asked about the latest conflict in Iran and what it could mean for monetary policy  especially after the RBA raised interest rates last month.

• On the data front,   GDP report is due on Wednesday where forecasts are centred on a 0.6% gain, picking up from 0.4% the prior quarter.

•  Immediate resistance is located at 0.6804(Daily high), any close above will push the pair towards 0.6833 (23.6%fib).

•  Support is seen at 0.6758(38.2%fib) and break below could take the pair towards 0.6709(SMA 20)

Recommendation: Good to buy around 0.6720 with stop loss of 0.6650, and target price of 0.6800