As markets are back in risk-on mode, Australian Dollar is outperforming other commodity currencies for now. In particular, AUD/NZD extends the rally from 1.0418 today and breaks 61.8% retracement of 1.1043 to 1.0418 at 1.0804. Near term outlook will now stay bullish as long as 1.0756 support holds. Current rise would target a test on 1.1043 high.
AUD/CAD’s rally stalled after hitting 0.9898. Yet, subsequent consolidation is contained by 0.9772 support so far, keeping near term outlook bullish. Break of 0.9898 will resume the rise from 0.8066 to 61.8% projection of 0.8066 to 0.9696 from 0.9247 at 1.0254. Though, break of 0.9772 will indicate short term topping and bring deeper pull back. Canadian Dollar would outperform in this case.
