AUD/USD supply capping attempts at 0.71 handle

By FXStreet FXStreet (Guatemala) – AUD/USD was just 1 pip shy of the 0.71 handle when supply came in for the third bout meeting higher highs since European market.

AUD/USD bulls are currently controlling the upper half of the 0.70 handle after a rally the commenced from 0.6950 and kept going until aforementioned highs and 3 pips shy of the 8hr 50 SMA. The data overnight came with an upbeat jobs report and better than expected CPI’s from China.

Today, Copper has been supported and is up 0.75%, Gold is up 0.69%, oil is up nearly $1.5 up and the three major indexes are just about holding in the green – risk is on, despite EUR rallying on broad dollar weakness as commodities take control.

AUD/USD levels

Technically, Valeria Bednarik, chief analyst at FXStreet explained that the 1 hour chart shows that the 20 SMA is crossing above the 200 EMA below the current level, whilst the technical indicators have turned flat near overbought levels, as the pair has spent the last few hours in consolidative mode. In the 4 hours chart, however, the technical outlook is bullish, as the 20 SMA heads sharply higher below the current level, whilst the …read more

Source:: FX Street