FBS: AUD/USD is trying to push up
AUD/USD breached up from the downtrend channel from Oct. 23 and rose today to $1.9450. Last week the pair has stayed above the 100-day MA currently at $0.9275 and 50% Fibo of the advance from August to October at $0.9305. Note that on the weekly chart there’s a hammer with a long lower shadow – a bullish candle. H4 shows that there’s a kind of double bottom below $0.9400.
This week Aussie enjoys support of the daily Ichimoku Cloud. The close above the 55-day MA ($0.9423) would be a positive sign allowing another attempt to test $0.9500 and $0.9545 – we favor this scenario. If the bulls manage to break above the latter, they’ll become able to test the 200-day MA in the $0.9650 zone. Yesterday, however, the 55-day MA capped the prices.
Australian currency rallied as a report showed China plans to reduce its intervention in the foreign-exchange market. It seems, however, that Australian bulls need more dovish comments out of the US. Watch the Fed’s Chairman Ben Bernanke speak at 00:00 GMT.
Chart. Daily AUD/USD