Aussie jumps to 50-hour SMA, prints double bottom on 1H

AUD/USD recovers to key hurdle as S&P 500 futures bounce from session lows.
The pair has printed a double bottom pattern on the hourly chart.

The AUD/USD pair has recovered to the 50-hour simple moving average (SMA) of 0.6872 from the session low of 0.6850, tracking the positive turn in the S&P 500 futures.

With the bounce from session lows, the pair has established a double bottom pattern on the hourly chart with the neckline resistance at 0.6875.

Acceptance above that level would confirm the breakout and open the doors to 0.6905 (target as per the measured move method). Further gains, however, may remain elusive, as the rising number of coronavirus cases in the US and other parts of the world will likely cap the upside in the stock markets.

The S&P 500 futures, which were down nearly 0.5% in early Asia, are now reporting a 0.15% gain. The futures had gapped lower, pushing AUD/USD down to 0.6850 as global virus cases rose above 10 million over the weekend.