AUD/USD’s showing some resilience

Author: Pete Jackson | Category: News

It has been supported earlier by buoyant Chinese stocks, and there’s still  some attraction towards option  expiries at 1.0500 and 1.0520.

1.0525  apparently holds a barrier and there’s talk of CTA buy stops on a break of the level. With EUR/AUD taking a pounding yesterday the AUD/USD should be fairly well contained on the downside with reasonable bids down at 1.0440/60 and larger down at 1.0390/10 (kijun line 1.0401, 100 day MA at 1.0394). AUD sits around 1.0477.

EUR/AUD broke down through the base of the Ichimoku daily cloud yesterday to  1.2341  and currently sits  around 1.2363 (1.2359 daily cloud base). Last night close around  1.2370  was well below the 200 day MA at 1.2413 which should now pose as some strong resistance and keep the focus lower. Some bids/supp expected down at 1.2325/35 (Nov 28 lows 1.2329) and then 1.2300/10.

(I’m still bullish for AUD by the way before anyone asks…. ;)   will i ever learn.. probably not)