AUD/USD Price Analysis: Important resistance at 0.6555/65 area

• Australian dollar recovery from 0.6378 has reached key resistance at 0.6555/65 area.
• Previous trendline support and the 100-day SMA might cap the AUD/USD uptrend.
• Above 0.6565, next targets might be 0.6680 and 0.6765.

The aussie has extended gains on Friday favoured by a brighter market sentiment triggered by emerging plans to ease COVID-19 restrictions and broad-based US dollar weakness.

AUD/USD rebound from 0.6378 lows on Thursday has jumped beyond 0.6500 to reach session highs at 0.6545, where the pair faces an important resistance hurdle. The 100-day SMA, which capped the pair’s recovery on April 30 and the former trendline support, both converging at 0.6555/65 might put pressure on AUD bulls.

Above here, the pair might gain bullish momentum, aiming towards march 9 high at 0.6680 and early February highs at 0.6765.

On the downside, the pair has found support at 0.6380 (May 4 and 7 lows). Below here bears might increase negative pressure driving the pair towards April 21 low at 0.6250 and April 9 low at 0.6190.

AUD/USD daily chart