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    AUD/USD: Limited chances of rally extension - FXStreet

    Valeria Bednarik, Chief Analyst at FXStreet, writes in her US close report, that the technical indicators in AUD/USD, based on the hourly chart, are currently limiting chances of a stronger rally. Focus is now on Chinese PMIs coming up shortly. Key QuotesThe AUD/USD pair advanced up to 0.7472 early Thursday, but fell down to 0.7301 during the past Asian session, on talks the PBOC  will be allowing the Yuan to devalue further. Nevertheless, the pair recovered quickly from the level, a clear indication that buying interest is strong on dips.Technically however, the pair was unable to  settle above the 0.7450 level, the 38.2% retracement of this year's rally. The surprise announcement from BOE's Carney has produced little effects on the pair, as rising stocks neutralized dollar's strength against its antipodean rival.Technically, the 1 hour chart presents a neutral stance, with the price around a horizontal 20 SMA, and the Momentum indicator stuck around its 100 level, whilst the RSI indicator heads modestly lower around 52. In the 4 hours chart, the price remains well above its 20 SMA and 200 EMA, but the technical indicators head modestly lower within positive territory, limiting chances of a stronger rally at this point.

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