16 Jan 2014
GBP/AUD tried luck at 1.8600, but failed.
FXstreet.com (Moscow) - GBP/AUD gained more than 100 points in an hour and touched upon the key resistance of 1.8600 on the awful Australian job data.
GBP/AUD bulls go crazy
The Australian labor market conditions are still weak. The report published earlier today showed that the economy lost 26k jobs in December, far worse than forecasted growth of 10k and 21k in November. Such a bad surprise triggers substantial market reaction. The cross rushed higher to the session high of 1.8605 and erased quite a number of resistance areas on its way. It seemed that GBPAUD lost its upside momentum and the bears were ready to take a firm hold of the situation. But the Australian data played against them. This cross was one of the strongest last year, and in long-term perspective Aussie bias is still bearish. But now it needs healthy short term correction and it won’t be late in coming as soon as the market calms down after violent movements. A sort of consolidation close to 1.8600 resistance level is a sign that the bulls have run out of steam. The first retracement target is 1.8537. The UK economic calendar is barren today, but the cross will be influenced by general GBP sentiment which is skewed to the downside due to lower than expected inflation data published on Tuesday.
What are today’s key GBP/AUD levels?
Today's central pivot point can be found at 1.8383, with support below at 1.8399, 1.8223 and 1.8139, with resistance above at 1.8619, 1.8641, 1.8697. Hourly Moving Averages are bullish, with the 200SMA at 1.8356 and the daily 20EMA at 1.8330. Hourly RSI is neutral at 71.09.
GBP/AUD bulls go crazy
The Australian labor market conditions are still weak. The report published earlier today showed that the economy lost 26k jobs in December, far worse than forecasted growth of 10k and 21k in November. Such a bad surprise triggers substantial market reaction. The cross rushed higher to the session high of 1.8605 and erased quite a number of resistance areas on its way. It seemed that GBPAUD lost its upside momentum and the bears were ready to take a firm hold of the situation. But the Australian data played against them. This cross was one of the strongest last year, and in long-term perspective Aussie bias is still bearish. But now it needs healthy short term correction and it won’t be late in coming as soon as the market calms down after violent movements. A sort of consolidation close to 1.8600 resistance level is a sign that the bulls have run out of steam. The first retracement target is 1.8537. The UK economic calendar is barren today, but the cross will be influenced by general GBP sentiment which is skewed to the downside due to lower than expected inflation data published on Tuesday.
What are today’s key GBP/AUD levels?
Today's central pivot point can be found at 1.8383, with support below at 1.8399, 1.8223 and 1.8139, with resistance above at 1.8619, 1.8641, 1.8697. Hourly Moving Averages are bullish, with the 200SMA at 1.8356 and the daily 20EMA at 1.8330. Hourly RSI is neutral at 71.09.