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  • AUD continues to rise on speculation Aussie Q1 GDP could beat estimates.
  • The daily chart shows a bullish reversal confirmation.

The AUD/USD continues to rise, now trading above the 50-day moving average of 0.7605 for the first time since April 19.

A better-than-expected first quarter Aussie data released earlier today has triggered speculation that Q1 GDP reading, due this Wednesday, could beat estimates. The increased odds of a better-than-expected GDP print seems to have put a strong bid under the Aussie dollar.

The data due on Wednesday is expected to show the Australian economy expanded 0.8 percent quarter-on-quarter in Q1 following a 0.4 percent expansion seen in Q4, 2017. The annualized growth rate is seen rising to 2.7 percent from 2.4 percent.

As of writing, the currency pair is trading at 0.7605 and looks set to extend the gains in Europe and US session. The positive move seen today adds credence to Friday’s dragonfly doji and signal a short-term bullish reversal.

AUD/USD Technical Levels

The resistance is seen at 0.7643 (March 29 low), 0.77 (psychological hurdle), 0.7730 (Feb. 11 high). Meanwhile, support is lined up at 0.7605 (50-day MA), 0.7559 (Session low), 0.7514 (Friday’s low).