The North American trading day has been a perfect example of the recent craziness involved in equity and commodity markets as Dow and S&P are trying to gain back their Friday losses and WTI is finding even more strength as we start the week.
While U.S. economic data broadly deteriorated through Q1, the lone bright spot was the labor market. Through the first three months of the year, U.S. Non-Farm Payrolls increased by a whopping 863,000 jobs, while other measures of economic activity including PMI surveys, retail sales, durable goods orders and inflation readings have all turned lower.
Since 2011 the Aussi/dollar pair has been on a corrective WXYZ Elliott Wave structure on the weekly chart. On the bigger time frames (weekly, daily and 4-hour) AUD/USD has been moving on a clear down trend. So to enter a trade you must ask yourself, which side would you trade this pair?