The AUD/USD has rallied aggressively and has managed to hit new highs in the morning, but has found strong resistance and now is going down again. The USD has taken the lead again from the European trading session and is dragging the price lower as the USDX has managed to rebound and to recover after the impressive drop.
The pair has increased significantly, resuming the yesterday’s bullish candle, the rebound was somehow natural after the last week’s impressive drop, remains to see how long this throwback will be. Technically the price is expected to drop in the upcoming weeks, so the rebound could be only temporary before will resume the downward movement. Right now is important to see what will happen on the USDX because could drop further if will stabilize below the 100.56 static resistance (support has turned into resistance).
The USDX has come back and now is challenging the mentioned static resistance, but is still under selling pressure and could drop further, the greenback will lose more ground if the USDX will drop below the 100.00 psychological level.
The Australian Dollar has rallied because was boosted by the economic data, the Australia’s Employment Change jumped from 2.8K to 60.9K in March, beating the 20.3K estimate, has reached the highest level after December 2015, the Unemployment Rate remains steady at 5.9% for the second month in March, matching expectations. Meanwhile the MI Inflation Expectations increased by 4.1% in March, beating the 4.0% growth in February.
The Chinese data have come in better in the early morning and have lifted the Aussie, the Trade Balance has increased sharply from -60B to 164B in March, exceeding the 76B estimate, while the USD-Denominated Trade Balance surged from -9.1B to 23.9B, exceeding the 12.5B forecast.
The USD has managed to increase a little in the second part of the day, the US data have come in mixed, the Unemployment Claims have dropped from 235K to 234K jobs in the previous week, despite that the economists have forecasted an increase to 242K. Unfortunately the PPI and the Core PPI indicators have disappointed, the first has dropped by 0.1%, even if the estimate was 0.0%, while the Core PPI surged only by 0.0%, less versus the 0.2% estimate. The greenback has received support from the Prelim UoM Consumer Sentiment, which has increased from 96.9 to 98.0 points, beating the 97.1 prediction.

AUDUSDdaily-1

Price has increased significantly after the retest of the warning line (wl1) of the previous ascending pitchfork, could approach and reach also the upper median line (UML) of the major descending pitchfork if the USDX will slip lower again. I've said in my previous articles that we could have a larger drop after the false breakout above the sliding line (SL) and after the retest of the lower median line (lml) of the major ascending pitchfork.

AUDUSDh4-1

The rate is still trapped inside the minor descending pitchfork's body, has found strong resistance above the upper median line (uml), could decrease further if will retest the upper median line (wl) and will stay below this dynamic resistance.

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