AUDUSD: Had a strong end to the week

Jim Langlands FX Charts

Preferred Strategy: AudUsd had a strong end to the week, squeezing sharply higher after the US inflation data on Friday, with solid China data also seeming to have played an important role in sending it higher. With both the 4 hour/daily momentum indicators pointing higher, further gains look possible and a move back towards 0.7900/15 seems possible. On the downside, support currently lies at around 0.7850, and below that at the Friday low of 0.7816 although that currently looks unlikely to be bothered.Watch out today for the China CPI (exp 0.4%mm, 1.6%yy) and PPI (6.3%yy).

Economic data highlights will include:

M: China CPI

T: WBC Leading Economic Index New Motor Vehicle Sales, RBA Minutes

T: Australian Unemployment, China Retail Sales, Industrial Production, Urban Investment, GDP, NBS Press Conference

Author

Jim Langlands

FX Charts

Jim Langlands began his trading career in the commodities markets in London in 1976, before moving to Australia in 1979 to work as a floor trader on the Sydney Futures Exchange.

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