AUD/USD continues scaling higher to hit fresh one-month highs

The AUD/USD pair built on previous session's break-out momentum through 50-day SMA hurdle, and the key 0.75 psychological mark, to hit fresh one month high on Wednesday.

Spot caught fresh buying interest after Australian growth figures for the first quarter of 2017. In fact, Australia's quarterly GDP growth came-in at 0.3%, while the annualized rate also surpassed estimates and registered a growth of 1.7%. Although the readings were slightly better-than expected but marked a noticeable slowdown from previous quarter's annualized growth rate of 2.4%. 

   •  Australia: Q1 GDP comes on expected lines - TDS

Nevertheless, the data did provide a lift to the Australian Dollar and remained supportive of the strong bid tone surrounding the major for the fourth consecutive session. 

Meanwhile, traders seemed to have ignored a modest recovery in the US treasury bond yields, which helped the key US Dollar Index to stage a minor recovery from 7-month lows, but did little to stall the pair's ongoing up-surge to the highest level since early May.

With an empty US economic docket, upbeat fundamental report might continue to underpin the pair and limit any immediate sharp downslide. 

Technical levels to watch

From current levels, 0.7555 region (May highs) now seems to act as immediate resistance, above which the pair is likely to aim towards reclaiming the 0.7600 handle. On the flip side, 0.7520 level now seems to protect immediate downside and is closely followed by support at the 0.75 handle and the very important 200-day SMA near 0.7490-85 region.