The Australian Dollar was one of the least affected currencies against the US Dollar on Tuesday’s big sell off with the AUD/USD advancing remarkably in the past two sessions. As the AUD is closely correlated with the Chinese economy and with the latest Chinese economic data better than expected (it wouldn’t be surprising if more upbeat data come out if one considers the upcoming elections), it is safe to assume that at 1.038 at the time of writing the bulls have the upper hand. An upside penetration of the 1.0425 level would expose September’s highs at 1.0425 with major support sitting at 1.0295. Traders have a lot to absorb on the economic data front today with the US Jobless Claims and the Pending Home Sales among the most important for the fate of the US Dollar.

Dafni Serdari
Market Analyst
Disclaimer
The comment in this blog is the personal opinion of the contributors and not Intertrader.com. The content does not constitute financial, investment or tax advice. You are advised to discuss your specific requirements with an independent financial adviser prior to entering into any bet. Intertrader.com is not responsible and disclaims any and all liability for the content of comments written by contributors to the blog, and the content of any third party sites linked from this blog.