Key Points
- The Aussie dollar moved higher against the US Dollar, and looks set for more gains in the short term.
- There is a major bullish trend line formed on the hourly chart of the AUDUSD pair, which can be seen as a support area if the pair moves down.
- In Australia today, the Home Loans report was released by the Australian Bureau of Statistics.
- There was an increase of 1.2% in loans in June 2016, which was less than the forecast of 2.4%.
Technical Analysis
The Aussie dollar buyers crushed the US dollar bulls recently, as the AUDUSD pair spiked higher. There was a move above the 0.7700 resistance area, which has now opened the doors for more gains in the near term.
If the pair corrects lower, then the 21 hourly simple moving average along with a major bullish trend line formed on the hourly chart may act as support.
On the upside, it looks like the pair may head towards the 0.7750 level in the near term.
Australian Home Loans
Earlier today during the Asian session, the Australian Home Loans, which presents the number of home loans was released by the Australian Bureau of Statistics.
The forecast was slated for a rise of 2.4% in June 2016, compared with the last decline of 0.8% (revised). However, the result was lower, as there was a rise of 1.2% in loans. The report stated that the “trend estimate for the total value of dwelling finance commitments excluding alterations and additions rose 0.4%. Investment housing commitments rose 0.8%, and owner occupied housing commitments rose 0.2%. In seasonally adjusted terms, the total value of dwelling finance commitments excluding alterations and additions rose 2.3%”.
The Aussie dollar is currently trading with a lot of positive signals and may continue to move higher.
