• AUD/USD strengthened on Monday as risk assets like Australia dollar gained traction after last Friday’s U.S. jobs report allayed growth concerns in the world's biggest economy.
• U.S. job gains increased by the most in six months in September and the unemployment rate fell to 4.1%, suggesting a resilient economy that likely does not need the Federal Reserve to deliver large interest rate cuts.
•Looking ahead, the Reserve Bank of Australia will publish its September meeting minutes on Tuesday.
• Technical signals show the pair could lose more ground as RSI is up at 62, and 9, 11,21 DMA’s are trending north.
• Immediate resistance is located at 0.6832 (38.2%fib), any close above will push the pair towards 0.6858(SMA 9).
• Support is seen at 0.6772 (50%fib) and break below could take the pair towards 0.6710 (61.8%fib).
Recommendation: Good to buy around 0.6800, with stop loss of 0.6750 and target price of 0.6880
