AUD/USD buyers establish a more near-term bullish bias but may struggle as price nears key resistance levels once again
Buyers capitalised on the more solid jobs data earlier and that helped the aussie to climb above the 200-hour MA (blue line) and the 100-hour MA (red line) against the dollar.
That puts the near-term bias now more bullish and buyers are keeping the momentum as we begin European trading. Price is now hitting highs of 0.6884 but is running into some key resistance levels once again - in what is a familiar tale for the pair this year.
As mentioned earlier in the week, if it isn't the key trendline resistance levels then it is the 200-day MA (blue line) that is proving to limit any upside momentum in the pair this year.
As such, those levels sit at 0.6880 and 0.6906 respectively and that will prove to be the ultimate test for AUD/USD buyers in trying to challenge for a further extension from here.
In the big picture, I reckon the jobs report earlier today is a welcome development in the near-term but it won't change the fact that the RBA may stay pressured to cut rates in February next year - especially if economic conditions are still largely subdued overall.
However, just keep an eye on the technical picture just in case of a breakout but at the same time, there are favourable levels to be defining and limiting risk for sellers - if you don't mind navigating through year-end liquidity conditions that is.
