AUD/USD rose during the session with all of the other risk related currency pairs as the ECB announced it would be swapping Greek bonds it owns for longer dated ones over the weekend. This helps the process along with the Greek debt markets, and this is seen as bullish by the market overall.
The pair has recently found support at the 1.0650 area, and it looks like we are going to reenter consolidation at the current level. The pair has a lot of resistance t the 1.08 level, but the market is decidedly bullish, so a breakout isn’t a surprise if it happens. The triangle that we were following a while back broke out at 1.04, and measured a move to 1.12 or so. It appears that sooner or later – it might actually happen. A daily close above the 1.0830 level has us long again. Selling isn’t a thought until sub-1.04 or so.
Written by FX Empire