AUD/USD rose 0.86% to reach its highest level since early June, touching 0.7178 alongside broad dollar selling and surging commodity prices. Buyers now target the 0.71993-0.7200 swing area, with 0.71193-0.71317 acting as the support zone that keeps the bullish structure intact.
The Australian dollar is the strongest of the major currencies against the US dollar today, pushing AUD/USD to a fresh high of 0.7178. The pair now sits at levels not seen since early June, with the next resistance at the swing area between 0.71993 and 0.7200.
Buyers defend the 50% retracement
Earlier in the week, AUD/USD traded up and down before hitting its weekly low on Wednesday. That decline dragged the pair down to test the 50% retracement of the move lower from the May 1, 2026 high to the June low. That retracement level sits at 0.7070, near the 100-day moving average, adding to the technical weight of the area.
Price briefly slipped below the 50% retracement but could not extend down to the 100-day moving average. Buyers stepped in, and AUD/USD then raced higher following the US Treasury announcement and the broader dollar selling that followed.
Commodities and bitcoin add to the risk-on tone
After an up-and-down session yesterday, AUD/USD made another strong run higher today. The move came alongside surging commodity prices, with gold and silver sharply higher. Bitcoin added to the broader risk appetite too, rising 6.45% today and about 23% for the week.
The pair is now extending away from the 61.8% retracement of the May-to-June decline at 0.71193. That level, together with the earlier weekly highs near 0.71317, now marks an important support area for buyers. As long as price holds above 0.71193-0.71317, buyers stay in control and the focus remains on the 0.71993-0.7200 swing area. A move back below that support zone would hand sellers some control back and weaken the bullish picture.
Source: Investinglive
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