- The Australian dollar is among the best for risk appetite.
- The US dollar falls across the board even as US yields rise.
The AUD/USD it rose further, driven by a fall in the US dollar and a positive tone in financial markets. The pair reached 0.7730, the highest level since March 23. It remains close to the top, with bullish momentum intact poised to post the first daily close well above the 20-day simple moving average since early March.
DXY declined lower despite rebound in US yields
The DXY fell 0.15% on Wednesday to stand at 91.66, the lowest level since March 21. The dollar has been unable to benefit from a rally in US yields. The 10-year earns 1.55% and rose to 1.64%. The improvement in risk sentiment boosted currencies such as the AUD, NZD and major European ones.
Risk appetite is also driving crude oil gaining more than 4%. Metals cannot make a profit. Gold fell 0.70%, affected by higher yields.
AUD / USD Firm at Higher Levels
Technical factors are also driving the rally in AUD / USD on Wednesday. The price broke a nearly two-week range by climbing above the 0.7660 / 80 barrier. It also broke the 20 and 55 day moving averages. The recovery took place after the aussie managed to stay above the key support area of ​​0.7550.
The short-term outlook is now favorable to the upside for AUD / USD. A pullback below 0.7660 would ease the bullish pressure. A break below 0.7560 should clear the way for further losses.
Technical levels
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