US-China trade headlines help AUD gather strength on Monday. US Dollar Index struggles to rebound. Fueled by the U.S. President Trump’s comments above the progress in the U.S.-China trade talks, the AUD/USD pair started the week on a positive note and rose to a daily high of 0.7185. With the market action turning subdued in the second half of the NA session, the pair has gone into a consolidation phase and was last seen trading at 0.7170, adding 0.6% on a daily basis. Earlier in the day, Donald Trump said that the U.S. had made ‘substantial progress’ in trade negotiations with China and announced that he decided to delay the increase in tariffs imposed on Chinese imports to provide the initial boost to the AUD, which is sensitive to trade headlines due to the tight economic ties between China and Australia. “China Trade Deal (and more) in advanced stages. Relationship between our two Countries is very strong. I have therefore agreed to delay U.S. tariff hikes. Let’s see what happens?” Trump tweeted out in the last hour to highlight the optimism in trade talks. On the other hand, despite today’s mixed macroeconomic data releases from the U.S., the US Dollar Index took advantage of the rising T-bond yields and limited its losses to cause the pair to lose its bullish momentum. Toward the end of the day, the DXY was virtually unchanged on the day a little below 96.50. Technical outlook by FXStreet Chief Analyst Valeria Bednarik Short-term, and according to the 4 hours chart, the pair seems poised to extend its advance, now developing above all of its moving averages which are losing the bearish strength seen on previous updates, as technical indicators hold on to daily gains near overbought readings, although now without directional strength. The pair has some relevant intraday highs in the 0.7080 price zone, now the immediate resistance, ahead of 0.7206, the high set last week. Beyond this last, the pair could extend its advance up to 0.7250 a strong long-term static resistance area. Support levels: 0.7130 0.7100 0.7070 Resistance levels: 0.7180 0.7210 0.7250 FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next BTC/USD: Price increases by 2.4% as bulls plod towards $4,000 mark FX Street 4 years US-China trade headlines help AUD gather strength on Monday. US Dollar Index struggles to rebound. Fueled by the U.S. President Trump's comments above the progress in the U.S.-China trade talks, the AUD/USD pair started the week on a positive note and rose to a daily high of 0.7185. With the market action turning subdued in the second half of the NA session, the pair has gone into a consolidation phase and was last seen trading at 0.7170, adding 0.6% on a daily basis. Earlier in the day, Donald Trump said that the U.S. had made 'substantial progress' in trade negotiations… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.