The AUD/USD pair extends gains for the third straight day on Friday, although it has trimmed a portion of its intraday gains and holds above the 0.6500 psychological threshold. The pair recently reached a multi-day high before retracing some of its intraday gains. The positive momentum in the pair is influenced mainly by broad-based US Dollar weakness.Despite showing signs of resilience and gaining, the US Dollar remains under pressure against most major currencies. The weakness in the US Dollar is primarily due to dovish comments from Federal Reserve , who hinted at a pause in the US interest rate hiking cycle. This has led market participants to speculate that the Fed may not raise interest rates as aggressively as previously anticipated. Daily digest market movers: Australian Dollar mixed, trade war concerns limit the upside
AUD/USD technical outlook: Outlook improves as bulls gain momentum, indicators signal further gains aheadThe AUD/USD pair continued to gain ground and approached the 20-day Simple Moving Average (SMA) but faced rejection. However, the outlook remains positive as bullish momentum continues to build.The AUD/USD pair is likely to find support at the 20-day SMA and the ascending trendline from the August low. On the upside, immediate resistance is at 0.6550 and 0.6600 areas. A break above this resistance area could lead to further gains toward the 0.6700 mark.More By This Author:
