2017 started off on the same foot as 2016 with Fresh highs in the German DAX on Monday and new highs in the Australia ASX on Tuesday as Traders come back from Holidays in a good mood.
The USD remains King and has push the EUR/USD back below 1.0500 and the USD/JPY back above Y117.50. The Outlook is for more USD strength and markets will get the first clue about the strength of the US economy with Friday’s NFP numbers.
Concerns about Trump’s Presidency are still not stopping optimism about global growth and going forward it may be turn to inflation as the real boogeyman for the global economy this year especially if Oil remains strong.
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Trend daily chart  (=) |
Trend weekly chart  (=) |
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AUD/USD ST: watch 0.7150. |
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Pivot: 0.7390
Our preference: short positions below 0.7390 with targets at 0.7150 & 0.6920 in extension.
Alternative scenario: above 0.7390 look for further upside with 0.7530 & 0.7750 as targets.
Comment: a break below 0.7150 would trigger a drop towards 0.6920.
Supports and resistances:
0.7750 **
0.7530 **
0.7390 ***
0.7195 Last
0.7150 **
0.6920 **
0.6830 ** |
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