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FxWirePro: AUD/USD extends break above 21-EMA, upbeat Australia GDP data supports

AUD/USD chart - Trading View AUD/USD was trading 0.36% higher on the day at 0.7339 at around 10:05 GMT, extends break above 21-EMA. Data released by the Australian Bureau of Statistics on Wednesday showed gross domestic …

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FxWirePro: AUD/USD extends break above 21-EMA, upbeat Australia GDP data supports
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AUD/USD chart - Trading View 

AUD/USD was trading 0.36% higher on the day at 0.7339 at around 10:05 GMT, extends break above 21-EMA.

Data released by the Australian Bureau of Statistics on Wednesday showed gross domestic product (GDP) rose 0.7% in the June quarter. Data was down from 1.9% in the March quarter, but beat forecasts of 0.5%. 

Details of the report showed strength in consumer and government spending, housing and business investment, though much of that was offset by drags from net exports and inventories.

Nominal GDP reached a record A$2.07 trillion ($1.51 trillion) for the year, making it the world's 11th largest economy. Output stood at A$80,432 for every one of Australia's 25.6 million residents.

Market attention is now on U.S. payroll data due on Friday. Any disappointment in data could weigh heavily on the dollar. 

Powell had said, an improvement in the labour market is one major remaining prerequisite for the Fed to taper its asset purchases.

AUD/USD shows signs of upside in the near-term. Price action has broken above 21-EMA. MACD shows bullish crossover on signal line.

RSI has edged above 50, bias higher, Stochs are sharply higher. 5-DMA has turned and Chikou span is pointing north.

AUD/USD is on track to test cloud resistance at 0.7420. Retrace below 21-EMA negates any further upside.
 

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