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Tops 0.80 as Reflationary Theme Rolls On

AUDUSD TECHS
  • RES 4: 0.8296 50% 2011 – 2020 Pullback
  • RES 3: 0.8164 High May 15, 2015
  • RES 2: 0.8136 2017/2018 Double Top and Major Resistance
  • RES 1: 0.8007 High Feb 25
  • PRICE: 0.7929 @ 17:36 GMT Feb 25
  • SUP 1: 0.7718 20-day EMA
  • SUP 2: 0.7651 Low Feb 8
  • SUP 3: 0.7583/64 Low Feb 5 / Low Feb 2 and the bear trigger
  • SUP 4: 0.7557 Low Dec 28

The reflationary theme persists across currencies this week, with AUD/USD the latest pair to top a notable historical level and hit a new multi-year high. This secures AUD/USD's bullish posture, although a now overbought RSI measure suggests progress could slow from here. Thursday's move higher raises the risk of a major test on key double top resistance from 2017/2018 at 0.8136.

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