Seems the pair is well bracketed now between 1.0460 and 1.0520, but remains fairly well underpinned as iron ore rallies on strong Chinese demand.
Until the offers around 1.0550 are taken out the pair is subject to cross flows particularly against the Yen, with the news o/n of Japan’s intention to buy ESM bonds providing a short term rally, but equally sparking some profit taking which is now weighing on AUD/USD along with a bounce in the EUR/AUD back through 1.2500.
Talk of some sell stops now building on a break of 1.0465, ahead of bids in the 1.0445/55 region and large down around 1.0390/00 which also holds the 100 day MA at 1.0392.
AUD/USD currently sits around 1.0475
