Archived IMT (2009.02.26)

AUDUSD shows an increasingly positive bias, eyeing the 0.6550s for a possible transition towards the 0.6620-25 high, especially in the event that stocks close in the black today. But the 7,500 and 790 levels on the Dow and S&P500 may re-impose their presence especially as the US budget deficit nears the $1.7 trillion mark. The passing of two stimulus packages in Australia as well as the existing cushion on the interest rate front (rates at 3.25%) provides the currency with a superior base for the next move higher.