AUD/USD climbs to three-week high as dollar continues to stay pressured


AUD/USD moves up to 0.7678, its highest level since 24 March

AUD/USD H1 14-04
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The dollar is keeping on the retreat ahead of European morning trade, with the antipodeans leading gains despite Treasury yields nudging a little higher currently.

AUD/USD has moved up to a high of 0.7678 – its highest level since 24 March – but price is generally testing the 7 April high @ 0.7677 for the time being.

Of note, we are seeing buyers push past the resistance trendline @ 0.7650 as well as the 100-day moving average @ 0.7655. So, those are two key levels to keep above on the daily in order to try and establish some fresh conviction to push higher.

Keeping above the 7 April high @ 0.7677 will be a major win of course but there are headwinds seen closer to 0.7690-00 next if that gives way this week.

For now, the dollar weakness is leading the narrative in the major currencies space after having seen 10-year Treasury yields retreat from a high of 1.70% to 1.61% yesterday.

However, there is a soft bottom close to 1.60% so that might yet keep things in-check – at least for the bond market. As for the dollar, it is showing some vulnerabilities across multiple charts and that is one sign that is hard to ignore.

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