• AUD/ USD rebounded from overnight losses on Thursday as risk assets rallied on more news of China stimulus.
• News report revealed Chinese authorities are evaluating a $142 billion infusion to assist major lenders, shortly after policymakers introduced measures aimed at revitalizing the economy from its deflationary slump.
• AUD/USD climbed 0.41% to $0.6851, recovering after a 1% drop overnight from its 19-month high.
•The technical outlook remains bullish and points to eventual bigger gains, Fourteen-day momentum is positive, reinforcing the scope for a bigger gains
• Immediate resistance is located at 0.6890(23.6%fib), any close above will push the pair towards 0.6922(Higher BB).
• Support is seen at 0.6827 (38.2%fib) and break below could take the pair towards 0.6798(Sep 23rd low).
Recommendation: Good to buy around 0.6840, with stop loss of 0.6760 and target price of 0.6900.