The greenback will remain on the defending side

The better than anticipated results reported yesterday such as the consumer price index helped sealed the bullish AUD/USD pair. That means that the greenback will remain on the defending side as bullish investors look to recover their losses from last month’s plunge. Looking at the chart, it appears that the Australian dollar’s strength has not faltered for several sessions and has consecutively gained against the US dollar. Bears may be in trouble as the 50-day moving average appears to be taking a big U-turn and is looking to overtake the 200-day moving average which is currently trading significantly higher. Moreover, the Australian consumer price index for the first quarter of the year came in at 0.3%, a drop from its previous reading of 0.7%, but still better than the projected 0.2%. Meanwhile, as for the beloved buck, it buckles against the Aussie in today’s trading thanks to recovering risk appetite for other assets.