10 Oct 2013
AUD/USD soars to 0.9474 session highs on AUD data
FXstreet.com (Chicago) - AUD/USD soared to 0.9474 session highs after better than expected data was released in Australia.
Australian data and US announcements
Price action reveals primary and secondary trend pointing up after the extension of the upward trendline that originated last August 23rd. The pair bounced from double-bottoms pattern to soar on FOMC’s and Fed’s results. In recent announcements from FOMC minutes, it is implied tapering may be happening this year. In Australia, the consumer inflation expectation for September was 2% vs. past 1.5%. The unemployment rate was 5.6% vs. past and expected 5.8%. Employment change was 9100 vs. estimates at 15,000 and past -10,800. Full-time employment was 5000 vs. past -2,600.
AUD/USD Technical Levels
Technically speaking, the pair trades at 0.9462 oscillating between supports aligned at 0.94 (October 7th lows), 0.9363 (October 3rd lows) followed by 0.9332 (October 2nd lows) breaking the immediate resistance at 0.9457 (October 4th highs) and now facing 0.9484 (October 8th highs) ahead of 0.9525 (September 19th highs). According to Jim Langlands from FXcharts, “I am a little concerned that the 4 hour momentum is looking a little soft and that the AUD may want to test the rising trendline (chart) which would trigger some stops for a quick move lower. If so, bids would be seen at 0.9400 and then at around 0.9380 (daily Tenkan/Fibo support), below which further buyers would be seen at 0.9365, 0.9335 and 0.9300. On the topside, 0.9460 remains the first hurdle, ahead of the weeks high at 0.9485, above which would see a test of 0.9500 and then the 18 Sept high of 0.9527. I suspect though that it would take a pretty good jobs number to reach that level and for the time being would use 0.9380/0.9480 as a guide for today and suspect that we may see levels below 0.9400 which may allow us to pick up some cheap AUD.”
Australian data and US announcements
Price action reveals primary and secondary trend pointing up after the extension of the upward trendline that originated last August 23rd. The pair bounced from double-bottoms pattern to soar on FOMC’s and Fed’s results. In recent announcements from FOMC minutes, it is implied tapering may be happening this year. In Australia, the consumer inflation expectation for September was 2% vs. past 1.5%. The unemployment rate was 5.6% vs. past and expected 5.8%. Employment change was 9100 vs. estimates at 15,000 and past -10,800. Full-time employment was 5000 vs. past -2,600.
AUD/USD Technical Levels
Technically speaking, the pair trades at 0.9462 oscillating between supports aligned at 0.94 (October 7th lows), 0.9363 (October 3rd lows) followed by 0.9332 (October 2nd lows) breaking the immediate resistance at 0.9457 (October 4th highs) and now facing 0.9484 (October 8th highs) ahead of 0.9525 (September 19th highs). According to Jim Langlands from FXcharts, “I am a little concerned that the 4 hour momentum is looking a little soft and that the AUD may want to test the rising trendline (chart) which would trigger some stops for a quick move lower. If so, bids would be seen at 0.9400 and then at around 0.9380 (daily Tenkan/Fibo support), below which further buyers would be seen at 0.9365, 0.9335 and 0.9300. On the topside, 0.9460 remains the first hurdle, ahead of the weeks high at 0.9485, above which would see a test of 0.9500 and then the 18 Sept high of 0.9527. I suspect though that it would take a pretty good jobs number to reach that level and for the time being would use 0.9380/0.9480 as a guide for today and suspect that we may see levels below 0.9400 which may allow us to pick up some cheap AUD.”