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AUD/USD testing resistance at Thursday / Friday’s highs at 0.9042

FXstreet.com (Barcelona) - The AUD/USD catches a bid early Monday and is testing some upside limits created by Thursday and Friday’s peaks at around 0.9042.

Traders await US data Monday morning

Traders of AUD/USD will be tuned into the US Durable Goods data at 12:30 GMT and the Dallas Fed Manufacturing Index at 14:30 GMT for a decision on whether to push through this short-term resistance or cave in under its pressure.

Technical outlook for AUD/USD

The AUD/USD cross will have to close above this resistance at 0.9042 to open up more upside potential for the short-term. The next major hurdle above that will be 0.9102 – the 8/19 low. On the other hand, bears need the AUD/USD to cave through Friday’s low at 0.8970 and Wednesday’s low at 0.8931 for their thesis to come to fruition in a big way.

Flash: A lower AUD/USD is inevitable - UBS

A weaker currency is a necessary condition for full economic rebalancing in Australia, notes Gareth Berry, FX Strategist at UBS, who believes "it will happen one way or the other."
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USD/CHF trading quietly above 0.9133 correction support

Even as the DXY got hammered Friday after the bad US housing data, the USD/CHF cross actually held up fairly well. Still, a test of projected support may be in the offing.
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