AUD/USD: early spike in Tokyo towards 0.7700 on weak dollar

AUD/USD spiked on dollar weakness, making highs of 0.7698 in early Tokyo.

AUD/USD was supported on higher consumer confidence and now we await the home lons data ahead of Stevens speaking.  In respect of direction in the currency, analysts at Westpac suggested that "The RBA’s easing bias combined with the Fed’s tightening bias should push the AUD lower towards 0.74 during the months ahead, although recent BOE and BOJ easing have made the AUD even more attractive to global investment flows such that a test of 0.77 is possible first." 

And their outlook for 1-3 month in AUS/USD", "The RBA’s easing bias combined with the Fed’s tightening bias should push the AUD lower towards 0.74 during the months ahead, although recent BOE and BOJ easing have made the AUD even more attractive to global investment flows such that a test of 0.77 is possible first."

How volatile has AUD/USD been?

Hourly 2-Standard Deviation Volatility Bandwidth is currently 56 pips, and has been shrinking, while the ATR (14) is currently 10 pips. Daily 2-Standard Deviation Volatility Bandwidth is at 248 pips and expanding. The average movement for the current hour has been for 10 pips per hour, over the last four weeks. Meanwhile, 1:00-2:00 GMT represents peak for volatility, with an average movement of 28 pips over the same period.\

What price levels and patterns have to be considered?
With spot trading at 0.7691, we can see next resistance ahead at 0.7694 (Weekly Classic R1), 0.7700 (Daily High), 0.7718 (Daily Classic R2), 0.7761 (Daily Classic R3) and 0.7768 (Weekly Classic R2). Support below can be found at 0.7688 (Yesterday's High), 0.7684 (Daily Classic R1), 0.7673 (Monthly High), 0.7673 (Weekly High) and 0.7673 (Daily Open).  Looking to candlestick patterns, we can see a Dark Cloud Cover formation on the 1-hour chart .

The weaker the economy is, the more jobs the US economy seems to create?