AUD/USD breakout out of flag formation; On its way to 0.840

AUD/USD breakout out of flag formation; On its way to 0.8400?


AUD/USD breakout out of flag formation; On its way to 0.8400?
Joe Perry
February 19, 2021 2:37 PM
AUD/USD traders will be eyeing the 0.8000 level first
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Last week, we discussed the possibility of AUD/USD making a run out of a flag pattern and towards a target of 0.8400.  The move has begun, and Aussie traders will be eyeing the 0.8000 level first. So far, traders seem to be ignoring the weak data from Australia.  Both Manufacturing and Services Preliminary numbers were weaker than January’s data.  Preliminary Retail Sales data posted a big miss from expectations at 0.6% vs 2% expected, however is was still a huge jump from December.  December’s reading was -4.1%.  But with commodities such as copper, platinum, iron ore, and lumber screaming as of late, commodity currencies should be higher!  A recovery is seemingly being priced into the market.

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