The Australian dollar holds strong as markets remain risk-on. On the daily time frame, a close below last November’s consolidation zone at 1.5300 has put the bulls on the defensive. A previous rebound came to a halt at 1.5650, suggesting a strong downward pressure. The single currency is treading water above 1.5360 and its breach would expose the floor at 1.5270 where a bearish breakout could trigger a sell-off towards 1.5000. On the upside, stiff selling could be expected in the supply zone between 1.5510 and 1.5560.
