AUDUSD keeps pushing against 0.6480 resistance in a risk-on market

• The aussie appreciates to 0.6480 amid a positive risk sentiment.
• Rumors of more relaxed COVID-19 restrictions in China have boosted optimism
  AUD/USD facing an important resistance hurdle at 0.6480.

The Australian dollar has opened on the same positive tone that it closed the previous one, with the pair bouncing up from 0.6400 to launch another attack to the 0.6400 resistance area, which, so far, remains intact.

The dollar loses ground on a positive market mood

Investors' sentiment remains positive on Monday, fuelled by market speculation suggesting that Chinese authorities could be contemplating a certain relaxation of the COVID-19 restrictions.

The Chinese National Health Commission, however, has denied those rumors, confirming their commitment to the Zero-COVID policy and warned about the possibility of a severe situation ahead, as the country is entering the winter flu season.

Furthermore, the impact of the positive US Non-Farm Payrolls report on Friday and the mild temperatures in Europe, which have eased fears about a gas rationing this winter have triggered risk appetite. In this context, the safe-haven US dollar has been losing ground in favor of riskier assets like the Australian dollar.

AUDUSD: facing a significant resistance hurdle at 0.6480

A look at the four-hour chart shows that Friday’s sharp rally has pushed the pair to an important resistance area between 0.6470 and 0.6520.

The bullish cross seen between the 50 and the 200-period SMA anticipates the possibility of further appreciation, although, the pair is close to overbought levels in hourly charts, which anticipates the possibility of some hesitation before further appreciation occurs.

AUDUSD 4-hour chart

Technical levels to watch