Australia may have added 10 folds more job than expected and beat improvement expectations in the unemployment rate but traders and investors are not giving the AUD any room to exhale. Bulls had a short 40 pip opportunity with most of that having already been wiped of the landscape within the hour.
Australian data was screened along with less than acceptable CPI and PPI data out of China. Australia heavily relies on China for its export markets of resources. Any signs of weakness have an immediate impact on the AUD. The AUD remains sluggish against the USD which is gaining strength from the weakness across Europe and political tension in the UK with Scotland seeking a referendum to become independent. We remain short on the AUDUSD swap in the short term based on the strength in the USD.
Bears still have the market as it appears.