AUD Futures: This uptrend is real

The CME data shows the Wednesday’s bullish end of the day close in the AUD/USD pair above the resistance of 0.7636 (June 14 high) was accompanied by a jump in the Open Interest (OI), suggesting the rally from the recent low of 0.7535 has more legs. 

Wednesday’s bullish candle also engulfed/negated the bullish exhaustion signaled by the Tuesday’s grave stone Doji. The OI in the AUD futures jumped 6709 contracts on Wednesday. The additions were mainly seen in the September contract. 

The final OI data for Thursday would be published in early Europe and could show further rise in the Open Interest, given the spot price has extended the rally to 0.77 levels. Caution is advised if the CME data shows a drop in the OI on Thursday as it would mean that the traders are not buying into the rally.