AUDUSD hits fresh 5-month high

AUDUSD continues to trend higher and hit its highest point in five months, during European trading on Wednesday.

Lift above the upper boundary of a larger bull channel generated bullish signal which was reinforced by Tuesday’s close above pivotal Fibo barrier at 0.6818 (61.8% retracement of 0.7157/0.6270 descend).

Initial targets lay at 0.6895/0.6900 (July 13 / June 16 double-top), followed by 0.6948 (Fibo 76.4%) and 0.70 zone (psychological / 200DMA).

However, overbought daily studies warn that bulls may pause for consolidation, which should be contained by rising 10DMA (0.6752) to keep larger bullish structure intact.

Res: 0.6846; 0.6900; 0.6948; 0.7000
Sup: 0.6818; 0.6798; 0.6751; 0.6713