AUD/USD extends side-trend below 0.7650 for 3rd straight session

The AUD/USD pair extends its downside consolidation phase into a third day today, after having posted four-month tops just ahead of 0.7750 last week.

The major stood resilient to a sharp sell-off in risk assets seen a day before, in the wake of the Healthcare bill failure, as the Aussie derived solid support from a steep drop in the US dollar against its main competitors.

As for today’s trade in the running, the spot is well bid and hovers around 0.7630 levels,  stuck in a 20-pips narrow range amid ongoing weakness in copper prices and risk-recovery, as the Asian indices recover from yesterday’s slump.

In the day ahead, amid a lack of fresh economic news until the NY session, the Aussie will get influenced by the broader markets sentiment and USD dynamics. The NY session offers the goods trade balance, CB consumer confidence and Fed official Kaplan’s speech.

AUD/USD Levels to watch   

At 0.7628, the pair finds the immediate support located at 0.7605/01 (Mar 27 & 24 low). Selling pressure is likely to intensify below the last, dragging the Aussie to 0.7550 (200-DMA/ psychological mark) and below that 0.7515/00 (100-DMA/ zero figure). On the flip side, the immediate resistance at 0.7664/71 (10-DMA/ classic R2) above which gains could be extended to the next hurdle located 0.7692/0.7700 (Mar 22 high/ round number) and 0.7752 (4-month tops).