AUDUSD – bulls probe again into daily cloud; US inflation data in focus
The Aussie remains firm on Friday and extends the succession of higher highs and higher lows this week.
The pair holds in green for the fourth consecutive day and probes again into daily cloud, following repeated failure to close above the base of rising daily cloud (currently at 0.7818).
Today’s fresh advance emerged above falling 4-hr cloud and generated bullish signal for extension towards key near-term barriers at 0.7865/74 (20SMA / Fibo 38.2% of 0.8102/0.7732 / 04 Oct high).
Eventual close above cloud base will be bullish signal while sustained break above 0.7874 would spark further retracement of 0.8102/0.7732 fall.
Key supports at 0.7800 zone (converged 10/100SMA’s / daily Tenkan-sen) are expected to contain and keep the downside protected.
US data are in focus today and near-term bias is expected to be determined by the outcome.
Res: 0.7845; 0.7874; 0.7917; 0.7929
Sup: 0.7814; 0.7803; 0.7782; 0.7748