AUDUSD Movement
For the 24 hours to 23:00 GMT on Friday, AUD strengthened 2.08% against the USD to close at 1.0238, as investors’ cheered news that European leaders agreed on measures to tackle the region’s debt crisis, raising risk appetite.
LME Copper prices rose 2.5% or $183.8/MT to $7604.3/ MT. Aluminium prices rose 0.1% or $2.0/MT to $1834.3/ MT.
Over the weekened, Chinese official purchasing managers index (PMI) manufacturing fell to a reading of 50.2 in June, a seven-month low.
In the Asian session, at GMT0300, the pair is trading at 1.0224, with the AUD trading 0.14% lower from Friday’s close, after the HSBC Purchasing Managers’ Index (PMI) manufacturing in China, fell to 48.2 in June, lowest since November 2011.
Meanwhile, AiG performance of manufacturing index in Australia rose to 47.2 in June, following a reading of 42.4 in May.
The pair is expected to find support at 1.0085, and a fall through could take it to the next support level of 0.9947. The pair is expected to find its first resistance at 1.0316, and a rise through could take it to the next resistance level of 1.0409.
The currency pair is showing convergence with its 20 Hr moving average and trading well above its 50 Hr moving average.
