It makes all the sense in the world for the Australian Dollar to go higher because:
1) It offers a good interest rate against all other g7 currencies.
2) The new governor at the RBA seems to be more bullish on the economy and at the next meeting (tonight) we will find out if he is thinking about further rate cuts.
3) The Fed is going to raise rates, Yellen made it as clear as possible, and that is already taken into account.
The technical picture is clear, and it is bullish. Three H&S patterns, all calling for higher prices. Price is above value, and the impulse is green/blue on the daily chart.
I currently run a long position on this pair opened a couple weeks ago. Hopefully, tonight, governor Lowe wont ruin my trade.
1) It offers a good interest rate against all other g7 currencies.
2) The new governor at the RBA seems to be more bullish on the economy and at the next meeting (tonight) we will find out if he is thinking about further rate cuts.
3) The Fed is going to raise rates, Yellen made it as clear as possible, and that is already taken into account.
The technical picture is clear, and it is bullish. Three H&S patterns, all calling for higher prices. Price is above value, and the impulse is green/blue on the daily chart.
I currently run a long position on this pair opened a couple weeks ago. Hopefully, tonight, governor Lowe wont ruin my trade.