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AUDUSD Consolidation After Recent Rally

AUDUSD Consolidation After Recent Rally
AUDUSD Consolidation After Recent Rally

AUDUSD trades 0.05 percent lower at 0.7034 after the weekly ANZ Roy Morgan Consumer Confidence rating increased by 0.3% to 116.3 points. Consumer sentiment remains above the average of 114.4 points held from 2014 and the longer term average of 113.1 points since 1990. The estimate of family finances compared with the previous year was up from +10.0 points to +13.1 points, the highest reading since February 2019.

AUDUSD currently consolidates after a failed break above 0.7080. Fundamental data do not support a move higher as the Aussie data recently disappoints. On the downside first support now stands at 0.7016 the 100 day moving average, a level that if breached will signal the closing of long positions that started to follow the recent uptrend and some traders may enter short positions targeting the 0.6953 mark where the 50 day moving average stands.  A wait and see stance on the pair looks like the best strategy for now. On the upside immediate resistance stands at 0.7056 the high from yesterday while more offers will emerge at 0.7089 the 200 day moving average.Don’t miss a beat! Follow us on Twitter.