The AUD/USD has increased significantly today and has erased the yesterday’s losses, has managed to reach new highs, but has slipped lower in the last two hours. Has fallen and continues to stay below an important dynamic resistance, the greenback has increased again as the USDX has started a bullish momentum after the United States economic data was released. The USD has received a helping hand from the economic figures, the data have come in better than expected and have lifted the USD, which could resume the yesterday’s bullish movement.
The currency pair has increased in the first pair of the day also because the Australian data have come in mixed, the Unemployment Rate has increased from 5.7% to 5.8% in December, has increased unexpectedly because the economists estimate was 5.7%. The Unemployment Rate has reached the July 2016 high, but the Aussie wasn’t too impressed. The AUD has received a helping hand from the Employment Change, which has come better than expected, has decreased from 37.1K to 13.5K, but has beaten the 10.2% estimate, wile the MI Inflation Expectations rose by 4.3% in December.
The price has increased and has jumped above the 0.7568 Tuesday’s high and above the upper median line (uml) of the minor ascending pitchfork, this level represents a strong dynamic resistance, a failure to climb and to stabilize above this upside obstacle will force the price to decrease again. The price could still increase in the coming period even if we’ll have a minor retreat, I’ve said in my yesterday’s article that the major upside target remains at the upper median line (UML) of the major descending pitchfork, could reach this level, even if will stay below the upper median line (uml) of the minor ascending pitchfork, could come down to retest the median line (ml) before will increase further.
Is very important to see what will happen on the USDX in the coming days because a further increase will force the greenback to dominate the currency market again, the index has found strung support and now is approaching the 102.00 psychological level.