The AUD/USD has been fighting back over the last 24 hours to stick its head back above 0.7200.

There was a busy morning of data for the Aussie, but in the end we haven’t really gained all that much ground.

Chinese Industrial Production came in a little better than expected at 5.9%, although retail sales missed badly.

Earlier Australian wage growth came out in line with expectation. But higher than that previous month which would be pleasing for the RBA.

Tomorrow we have Australian employment, which is going to be a vital report given the state of the housing market currently and the fact that prices have been falling away sharply.

Aussie Outlook

The AUD/USD is trading just above the major level at 0.7200, and rallied a touch.

The fact that the USD fell away from the highs hasn’t hurt the Aussie’s cause at all and that was to be expected somewhat.

I’m hunting for a short position and it if looks like we are making a lower high than the previous 0.7300, I’ll be happy to be selling.