AUD/USD: consolidates at descending trend line resistance

By FXStreet FXStreet (Guatemala) – AUD/USD has consolidated on the 0.72 handle after penetrating the 200 SMA on the hourly time frames at 0.7202 yesterday. This is a full recovery,and some, since the Fed hiked rates last week. We are up to a key resistance level within the descending channel.

Markets are thin and illiquid and we will have to wait for desks to return to a direction on this again in the New Year. Meanwhile, the data from the US was mixed today with good GDP 2.0% final revisions vs 1.9% expected but a weaker dollar on the back of the home sales numbers that were a poor 4.76m vs 5.35m exp.

However, at least the numbers can be trusted while in Australia, the Aussie has been supported on dubious jobs data time and time again and especially the most recent. In this respect, Adam Button, MD at Forexlive explained, “There is only one thing that I trust less than Chinese economic data and that is Australian economic data. I see Aussie headed much lower”. Ashraf Laidi, founder of Intermarket Strategy Ltd countered, countered and said, “I like the Aussie. I enjoy what Adam said but you trade the …read more

Source:: FX Street