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AUD/USD Review

Good day forex traders.
Today i will like to touch on a very special currency pair. Truth to our loves for koalas, the Australian / US Dollar or  AUD/USD.
In recent times, many foreign currency exchange traders are flocking to this pair. Known for it’s relatively clear trend, it is seen as a safer bet for many.
Looking at the AUD/USD monthly chart above, it is obvious that the bullish trend is strong since the 2008 global financial crisis. 
Technically we are currently consolidating but based on the highest level ever, we probably have space to maneuver to the upside. Technical statistics place downside bets in the risky zone and hence i probably wont not do so unless there is a good fundamental reason to.
From a fundamental point of view, we know that the traders usually favor the currency with a higher interest rate. Since the 2008 lowering of the US interest rates by the US Federal Reserve to record lows, the Reserve Bank of Australia maintains a much higher interest rate which is currently at 4.5% versus the US Federal Rate of 0 – 0.25%. Australia is rich in natural resources and this is a boost to it’s economic performance. Spotting an Australian unemployment rate of 5.2% in October 2011 versus the dismay US unemployment rate of 9%. These factors further contribute to the demand for the Australian currency.
Trade Safely.
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