FxWirePro: Upbeat GDP data buoys Aussie bulls, AUD/CAD extends gains above 23.6% Fib, stay long
Upbeat Australian GDP report boosts Aussies bulls. Australia’s Q1 GDP q/q came in at +1.1% versus +0.8% expected and from +0.7% prior (revised higher from +0.6%). The latest GDP figures added to the recent streak of upbe…
Upbeat Australian GDP report boosts Aussies bulls. Australia’s Q1 GDP q/q came in at +1.1% versus +0.8% expected and from +0.7% prior (revised higher from +0.6%).
The latest GDP figures added to the recent streak of upbeat fundamentals, including Aus trade, jobs and building approvals data.
Stabilization in commodities market also lends support to the bullish momentum in the Aussie.
Caixin PMI pointed to sharpening contraction in May, in contrast to official PMI which indicated slight expansion (came in barely changed at 50.1).
AUD/CAD extends gains above 23.6% Fib level to hit highs of 95.27, but pared some gains to currently trade at 0.9509.
The pair is taken a reversal from the potential reversal zone on the Bullish Bat Pattern.
Bullish invalidation seen only below 0.9150. RSI divergence from price action seen, supports gains.
