Australian Dollar has been the strongest one for the week so far, as the country is heading towards relaxation of lockdown rules. New South Wales Premier Glady Berejiklian announced today that, starting Friday, groups of two adults and their children are allowed to visit other households for social gatherings. Bondi Beach and two neighboring beaches in Sydney were reopened to local residents on Tuesday after being closed a month ago.
While Aussie’s strength has been impressive, it’s partly skewed upward by the strong rebound in AUD/NZD. Meanwhile, some Aussie pairs are already close to key resistance levels. Hence, we’d be very alerted on topping signals for the near term. For example, AUD/JPY is now relatively close to near term cluster resistance at 69.95, 61.8% retracement of 76.54 to 59.89 at 70.17.
AUD/CAD is close to an even more important cluster resistance at 0.9105 (38.2% retracement of 1.0784 to 0.8066 at 0.9104. A near term set back should at least be due.
