AUD/USD keeps bullish momentum, solid break through 0.70

By FXStreet FXStreet (Bali) – AUD/USD keeps its bullish momentum in early Tokyo, having broken the 0.70 handle in the last hour, now printing session highs around the 0.7020 area.

Australian data ahead

Looking ahead at today’s Asian calendar, Australia releases housing and credit data at 1.30GMT, events unlikely to affect price action. Sentiment in the commodity space will continue to play a major role in the pair. It is also worth mentioning that the Australian government announced a change in its Iron-ore forecast this morning, now expected at 51.2/ton in 2016. The news didn’t seem to weigh on the AUD sentiment for now.

AUD/USD technicals

Technically, Valeria Bednarik, Chief Analyst at FXStreet, notes: “The 1 hour chart shows that the price stands a handful of pips above its 20 SMA, whilst the technical indicators are turning lower, with the RSI indicator anticipating additional declines, as it stands around 48.”

“In the 4 hours chart the price has been unable to advance beyond its 20 SMA, whilst the technical indicators are retreating from their mid-lines, pointing for a bearish continuation, particularly on a break below 0.6955, the immediate support”, Valeria adds.
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Source:: FX Street