The Aussie dollar was among the top gainers in Asia, driven by weaker US dollar and data from China and Australia, released overnight.
Australian Home loans unexpectedly jumped in July by 2.9%, beating forecast at 1.0% and upward-revised June numbers at 1.2%.
Mixed data came from China, with trade surplus of $41.99 billion, being below expectation for August at $48.6 billion, while imports jumped 13.3% in August, higher than expected 10.0%.
On the other side, Exports rose by 5.5% in August, missing forecast at 6.0%
The Aussie extends strong rally into the fourth straight day and probed above 0.8100 mark hitting new over two-year high at 0.8124, after Thursday’s eventual close above psychological 0.8000 barrie generated strong bullish signal.
The pair is also on track for strong bullish weekly close that additionally supports bulls, en-route to 0.8164 target (50% retracement of 0.9503/0.6825 descend / 10 May 2015 high).
Weekly close above former high at 0.8065 will be strong bullish signal, as bullish daily studies favor further advance.
However, bulls might be interrupted by corrective easing on overbought studies and end of week profit-taking.
Former top of 27 July at 0.8065 and today’s session low at 0.8042, mark initial supports, with psychological 0.8000 level, now reverted to support and reinforced by rising daily Tenkan-sen, expected to contain dips.
Res: 0.8124, 0.8164, 0.8200, 0.8224
Sup: 0.8065, 0.8042, 0.8000, 0.7966
