AUD/USD retesting highs ahead of 0.7800

FXStreet (Mumbai) - AUD/USD continued its march towards 0.7800 levels in the Asian session, largely as the AUD bulls jumped back into the bid after falling to fresh two day lows on China’s GDP outlook downgrade.

AUD/USD hovers above 0.78 barrier

Currently, the AUD/USD trades higher by 0.24% at 0.7800 levels, inching towards fresh session highs posted at 0.7835 levels post GDP data. The Aussie rose to fresh highs as traders took to profit booking on their short positions after the Australian dipped to two day lows in the previous session as China trimmed its GDP growth forecast to about 7% from last year’s 7.5%. AUD/USD was hit on Chinese downgrade reports as the Australian economy is highly dependent on China for its exports.

Moreover, traders now await US employment data for further momentum on the pair with NFP figures being the key event to watch out for. The pair continues to receive support from stabilizing oil prices and a minor recovery seen in gold and copper prices.

AUD/USD Technical Levels

The pair has an immediate resistance at 0.7843 levels, above which gains could be extended to 0.7867 levels. On the flip side, support is seen at 0.7750 from here it to 0.7721 levels.

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