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EUR/JPY Bulls Hold the Line Above 185: Eyes Locked on 188 Breakout 
Chart - Courtesy Trading View
AUD/USD was trading 0.24% higher on the day at 0.6739 at around 03:15 GMT, slips lower from session highs at 0.6756.
The antipodeans cheered China-inspired optimism as the nation scraps quarantine rules for inbound travelers from early January.
Market sentiment also remained upbeat amid receding fears of hawkish central bank actions.
AUD/USD erased early gains after data from China showed industrial firms' profit contracted further in the January-November period.
China industrial profits fell 3.6% YoY in January-November period to 7.7 trillion yuan ($1.11 trillion), according to data released by the National Bureau of Statistics (NBS) on Tuesday.
Data compared with a 3.0% drop for January-October period and reflects the toll that anti-virus curbs in many cities last month.
China November industrial output rose only 2.2% YoY, missing expectations for a 3.6% rise and slowing significantly from the 5.0% growth seen in October.
The pair has retraced dip below 21-EMA. Pullback on account of bearish RSI divergence has bounced off 55-EMA support.
Technical indicators are turning bullish. RSI has turned bullish, edged above 50 mark. Stochs are showing a rebound from near oversold levels.
Major Support Levels:
S1: 0.6713 (21-EMA)
S2: 0.6667 (55-EMA)
Major Resistance Levels:
R1: 0.6741 (20-DMA)
R2: 0.6855 (Upper BB)
Summary: AUD/USD technical bias remains bullish as long as pair holds above 21-EMA. Scope for retest of 200-DMA.
