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  • Aussie on a bullish stance, but hesitating near recent highs as the US Dollar begins to gain on the day.
  • China CPI/PPI figures today couldn’t push the Aussie higher as the Australian NAB surveys failed to expand.

The AUD/USD is sifting backwards into 0.7460 after climbing through the early Asia session, marking in a high of 0.7483, but a rebound in the Dollar index is seeing the Aussie taking a step back as the USD steps up in quiet Tuesday trading.

The Aussie was bolstered into a bullish stance by rising copper prices to kick off the trading week, and combined with a softening in the USD to take the AUD/USD into fresh weekly highs, but the Dollar is seeing a brief resurgence for Tuesday and the pair is stooping from the week’s current highs near 0.7500.

The AUD began to waffle against the USD after  China’s y/y CPI came in at expectations, printing at 1.9%, while the y/y PPI came in better than expected at 4.7%; however, the Aussie NAB Business Confidence and Conditions surveys came in below expectations,  with the confidence survey printing at 15 versus the expected 18, and the conditions survey coming in at 6 versus the forecast 8. Both indicators were expected to improve, but results showed a lack of upward movement and they remained steady at their previous readings.

AUD/USD Technical Analysis

Hourly charts show the AUD/USD could be forming a double-top reversal pattern, with neckline support from 0.7456, though the hourly Relative Strength Index has diverged, turning to favor the bears.

Spot rate:   0.7464
Relative change:   0.47%
High:   0.7483
Low:   0.7427
   
Trend:   Bullish
   
Support 1:   0.7495 (50 day MA)
Support 2:   0.7537 (61.8% Fibo retracement level)
Support 3:   0.7605 (May 22nd swing high)
   
Resistance 1:   0.7456 (double-top neckline)
Resistance 2:   0.7426 (5-day MA)
Resistance 3:   0.7394 (10-day MA)

 

 

 

 

 

 

 

 

 

 

 

AUD/USD Chart, 15-Minute