NAB: Aussie dollar headed for 83 cents

Friday, 18 August 2017

Via NAB forex:

The positive outlook that we have identified in the recent months has shifted to a new level upon the July breakout close above key resistance levels.

Both price and momentum triggers remain positive at a LT level.

Recent negative price and ST/MT momentum triggers highlight risk of a further correction towards 0.7710/30.

While weekly closes remain above 0.7710/30 we target a multi-week to multi-month uptrend towards 0.8250/0.8300.

Technicals are not be discounted but momentum looks well over-cooked…

About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.