The move to the upside is somewhat disjointed in that yields in the US resume to move higher. The stock market has given up gains, particularly in the NASDAQ index, which weakens dramatically.
National Australia Bank chief executive Ross McEwan has called on the government to open borders to supply labor shortages or risk crimping Australia’s economic comeback.
A NAB business insight poll showed nearly four in 10 businesses are mourning “very significant” effects from labor shortages, with little faith the issue will be fixed in the next 12 months. Nevertheless, the Dow industrial average is pushing higher and at record levels. Crude oil and gold, and commodities are more elevated.
Technically, the pair has profited from jumping off support near the 0.7182 to 0.7186 area. The pair is also carried beyond a swing area between 0.7212 and 0.7223, and the 200 and 100-hour moving averages at 0.7236 and 0.72412.
The price was high as it went 0.72484. The price is presently trading at 0.7240 between the moving average levels. There is some stall around the MA levels.
Weekly Chart Looks
The pairs moved more down earlier this week, forced back below their 100-week moving average at 0.7224 but stalled forward of its 200-week moving average at 0.71706. The low contacted 0.71835. The price is back beyond the 100 weeks moving average at 0.7224. Stay beyond that level, and the buyers can feel relaxed.
The low for the year last year slowed against the lows from the second half of 2020 near the 0.7000 level. The weekly moving averages will be a critical determinant for the bias in the early part of 2022. Be mindful.