A relatively busy morning for the aussie today, as the market responded to the broader US dollar losses and the release of Q1 capex data out earlier. Aussie-dollar opened at $0.9236 after a $0.9214 to $0.9244 range in the US last night. Early market action was muted with aussie-dollar not straying too far from its opening levels. Talk of reasonable-sized option expiries at $0.9220 and $0.9250 while a $0.9200 barrier further down helped to contain the aussie within the morning’s narrow ranges. The pair was holding around $0.9230 when the headline capex number triggered a drop to the session low of $0.9211. But the details of the release showed some better-than-expected numbers andaussie-dollar then rebounded toward $0.9260. Some players then encountered a squeeze on their short positions and the resulting scramble to cover carried the aussie higher. The move translated into a broader aussie rise and aussie-dollar eventually traded a high of $0.9276, and was last at $0.9274. Up top, $0.9277 serves as the most immediate resistance while further up lies the 21-day moving average at $0.9299. Topside stops are also noted above $0.9280 and above $0.9320.
