The Aussie continued its surge higher Thursday, reaching a new high against the US Dollar following a number of negative US economic reports. The Aussie was trading at 1.0906, up 0.31% at the time of this writing.
Is the Aussie the a safe investment in the short term?
Here’s a quick update on technicals, fundamentals and community trends.
AUD/USD Technicals
- Previous sessions: The Aussie traded higher early in the session, reaching its high of the day by mid-morning. The Aussie then gradually consolidated through the rest of the session, reaching its low of the day towards the end of the session and then consolidating to its current level.
- Technical indicators show a probable correction in the near term as the Aussie is overbought.
- Current range: 1.0854- 1.0948
- Further levels: Below: 1.0835, 1.0849, 1.0872 Above: 1.0909, 1.0923, 1.0946
- AUD / USD likely to find support at 1.0677, and resistance at today’s high of 1.0948.
AUD/USD Fundamentals
- 02:30 Australia Private Sector Credit m/m Exp. 0.4% Prev. 0.5%
- 13:30 US Core PCE Price Index m/m Exp. 0.1% Prev. 0.2%
- 13:30 US Employment Cost Index q/q Exp. 0.5% Prev. 0.4%
- 13:30 US Personal Spending m/m Exp. 0.6% Prev. 0.7%
- 13:30 US Personal Income m/m Exp. 0.3% Prev. 0.3%
- 14:45 US Chicago PMI Exp. 68.7 Prev. 70.6
- 14:55 US Revised UoM Consumer Sentiment Exp. 70.0 Prev. 69.6
- 14:55 US Revised UoM Inflation Expectations Prev. 4.6%
- 17:30 US Fed Chairman Bernanke Speaks
* All times are GMT.
For the major events due later in the week, see the AUD/USD forecast.
AUD/USD Sentiment
- The US reported today higher than expected Pending Homes Sales for the month of March, reaching 5.1% up from the 0.7% the month before.
- The US released a report today showing that the US economy has slowed significantly since the beginning of the year.
- The US reported today that initial jobless claims rose more than expected last week, increasing by 25,000 more than analysts predicted.
Currensee Community: 52% are short, 48% are long. 278 open positions in real accounts trading this pair at the moment. The community is expecting lower levels of the pair ahead.