Thursday, 12 October 2017

AUD/USD Higher on broad USD weakness


The Aussie continues to gain traction for third consecutive session and today is seen above the significant 0.78 barrier with current market price 0.7817. The US dollar was set on great selling pressure after the FOMC minutes yesterday and this morning the AUD/USD was additionally boosted by the better-than-expected number on consumer inflation expectations.
Technically speaking the short term outlook loos neutral to bullish. On the four hour time frame the price is developing above its bullish 20-day SMA. Stochastic has slightly retreated but yet remains within extreme oversold area, while RSI is staying flat around 60 and looks to had lost directional strength.
The pair marked daily high at 0.7835 which turns to first resistance now, beyond which the pair could advance towards 0.7880 before being hurt by another set of selling pressure. US PPI numbers and weekly jobless claims data are due later on today and
worse than expected figures, would support the bulls to push higher.


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