FXstreet.com (Barcelona) - The AUD/USD is breaking higher thru 1.0275 stiff resistance - highs from Oct 5 - now opening the doors for a potential new upleg that may see bulls take short term control until next troubling area at 1.0320 is faced - Set 26/Oct 1 lows -. The rise comes after upbeat jobs numbers in Australia, resulting on the market pricing out an RBA Nov rate cut from over 80% to now 65%.
Reinforcing the enhanced bullish prospects is an unorthodox inverse head & shoulders pattern, observed from low time-frames, coupled with a very nice basing pattern around 1.0150. Japanese buying interest has been notorious in the last run up, with the concerted bids and shallow retreats suggesting upside targets can be achieved. Any downside setback is expected to see dip buyers between 1.0240/50 step in ahead of 1.0200. Stops should be below this last round number.
Reinforcing the enhanced bullish prospects is an unorthodox inverse head & shoulders pattern, observed from low time-frames, coupled with a very nice basing pattern around 1.0150. Japanese buying interest has been notorious in the last run up, with the concerted bids and shallow retreats suggesting upside targets can be achieved. Any downside setback is expected to see dip buyers between 1.0240/50 step in ahead of 1.0200. Stops should be below this last round number.
