It’s tough to buy AUD/USD after the recent rally but after 8 consecutive days of gains, there is still no clear sign of a top.
What makes the move so convincing is how plodding and steady it’s been. Even during the big rally yesterday it didn’t look like a squeeze or a the kind of panic move that can signal a top. We don’t have CFTC data but the speculators have been relatively neutral on the Aussie. You also don’t hear much talk or the kind of predictions of big gains that often signal a top.
In short, AUD/USD looks good and technically, there isn’t much resitsance until the 200-day moving average at 0.9762.
