Forex
AUD/USD Pauses Above 0.7100 as Traders Wait for Key Events
The AUD/USD pair began Monday's session on a modest gap-down note but managed to hold above the 0.7100 mark throughout the Asian trading hours.
This resilience can be attributed to the rising expectations of an imminent Reserve Bank of Australia (RBA) rate hike this month, which continues to lend support to the Australian Dollar (AUD).
The US Federal Reserve's (Fed) hawkish stance and escalating tensions in the Middle East have also contributed to a stall in Friday's retracement slide from its highest level since late July.
From a technical perspective, spot prices remain cautiously optimistic after defending the 100-day Simple Moving Average (SMA) at 0.7078 and above the 38.2% Fibonacci retracement level of the June-September upswing.