AUD/USD clocks new one-month high

Commodity dollars are having a good time out there against the greenback with AUD/USD pair trading at new one-month high of 0.7527.

Focus on oil and Brexit

Oil benchmarks are trading with 1% gains and that seems to be helping commodity dollars. AUD also finds additional support from iron ore prices, which jumped out of its steady trading range. Iron ore rose 2% to USD 51.70/tonne.

AUD is likely to follow oil prices, which in part could be driven by Brexit. Furthermore, overall demand for US treasuries (and US dollar) remains at the mercy of the Brexit polls.

AUD/USD Technical Levels

The immediate hurdle is seen at 0.7548 (Apr 27 low), which if breached would open doors for a rally to 0.7597 (23.6% of 0.6827-0.7835) and 0.7680 (Mar 18 high). On the other hand, a breakdown of support at 0.7490 (daily low) would expose 0.7450 (38.2% of 0.6827-0.7835) and 0.74 levels.