After struggling to get clearance from the upside hurdle at 0.9200 on Wednesday, the upbeat data boosted confidence on investors, whose immediate reaction was lightening up going long AUD as bullish momentum picked up.

After rising over 30 pips, the breach of the key technical resistance at 0.9220, Aug 6 high, was achieved, and the price continued to rise hitting a fresh 4-month high at 0.9234. The spike up opens the doors for further upside exposure.

We are presently on a retracement mode at 0.9222, a 0.45% above the previous close. As pointed by Valeria Bednarik, Advisor from Fxstreet.com: “An acceleration above 0.9200 should trigger a continuation rally towards the 0.9240 zone, ahead of stronger 0.9270 resistance area”.

Thu, Sep 9 2010, 01:46 GMT
http://www.fxstreet.com