AUD/USD is drifting sideways and consolidating on what has been a lackluster session so far in the absence of catalysts.
China and commodities in sharp focus - ANZ
While the main theme remains with China and the commodity sector, a broad based pause in the recovery is set in place and we turn heads to the Yuan fix, noting a devaluing from yesterday's 6.5041 mid to today's 6.5106, in line with the bearish outlook for the Yuan.
AUD/USD pressured on data
After yesterday's shocking export figure from China's trade data, the data from Australia for today offered a poor number in the home loans at -3.9% for Jan vs -2.3% expected and vs prior 2.7% albeit calculated over the holiday season. Nevertheless, the Aussie is slightly bearish on this for the session, while the Westpac consumer confidence for March is back to the average six- month reading, noted by the analysts and arrived -2.2 vs 4.2% prior.
AUD/USD levels
AUD/USD remains with a bullish bias medium term having broken up through the weekly cloud at 0.7378 recently and in the absence of any significant downside pressures . However, price is fading towards 100 1hr sma at 0.7397 currently while below there, the 8-month resistance line previously (0.7331) below S3 (0.7341) and combined with 0.7320 is a key support area. Daily RSI turns below 70 now on the correction in price as the market targets the 55 week moving average at 0.7380.
(Market News Provided by FXstreet)
