The Australian dollar surged, extending gains for the fourth straight session after China announced a cut in tariffs on some imported goods from the United States. The major was also supported by data showing Australian …
The Australian dollar surged, extending gains for the fourth straight session after China announced a cut in tariffs on some imported goods from the United States.
The major was also supported by data showing Australian exporters had another solid month in December, suggesting exports too added to GDP growth in the December quarter.
However, the upisde appears limited as separate data showed retail sales dropped 0.5 percent in December, the worst monthly performance since August 2017.
The Aussie was trading 0.1 percent up at 0.6749, having hit a high 0.6774 on Wednesday, its highest since Jan. 29.
Technical indicators are turning bearish: RSI weak at 38.26 and MACD supports downside.
Stochs are biased higher, minor recovery likely.
Immediate resistance is located at 0.6799 (21-EMA), a break above could take it near 0.6818.
On the downside, support is seen at 0.6716 (5-DMA), a break below could drag it till 0.6690.
