AUD/USD Bears Testing Bulls Commitments at Key 0.7500
AUD/USD is testing the bulls commitments around the 0.75 handle as Asia gets going, following the downside activity that took place overnight in the commodity sector.
AUD/USD had otherwise been looking robust the 17th March rally that had lead to a number of scores through the 0.76 handle and recoveries from subsequent fades while in the absence of bears in the commodity markets. However, as we head towards big US data, commodities are tanking, with iron ore futures now down -5.4% and making the biggest drop since November.
This all started overnight:
For the day ahead, Meanwhile, we wait for the US GDP and durable goods ahead of the Bank holiday weekend and then the Chinese manufacturing data before the nonfarm payrolls to make a big impact at the start of April.
PBOC sets USD/CNY at 6.5150 vs 6.4936 last fix
AUD/USD risks are to the downside, while a correction with hunt down a test of the 0.7550 level and the 4hr 50 sma just above it at 0.7560. The 4hr 100 sma at 0.7490 is currently last defence before the 16th March lows at 0.7412. "The intraday Elliott count is suggesting a retracement to .7520/.7415," explained by Karen Jones, chief analyst at Commerzbank.
(Market News Provided by FXstreet)