The Australian dollar was been battered in June and the selling continued in early July as it fell to the worst levels since the peak of the pandemic.
The Australian dollar was been battered in June and the selling continued in early July as it fell to the worst levels since the peak of the pandemic. However in the last week it has repeatedly found buyers near 0.6765. It flirted with that level four times, including in Asia today.
Now it’s sprung to a two-day high at 0.6848 as the mood in markets improves. I’m surprised the bid isn’t even stronger given the report that China is considering a $220 billion infrastructure stimulus.
If the positive sentiment can continue or even if there’s some stability in global markets, I can see scope for a relief rally back to 0.7000 and a retest of the top of the downtrend.
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