28 Nov 2014
AUD/USD advances beyond 0.8500
FXStreet (Edinburgh) - The Aussie dollar is now extending its rebound from multi-year lows near 0.8490 vs. the US dollar, lifting AUD/USD back to the 0.8515/20 area.
AUD/USD weaker ahead of RBA
The offered tone remains intact around AUD, with spot navigating the current leg lower sparked after November tops in the boundaries of 0.8800 the figure. Next of note in Australia will be the RBA monetary policy meeting due on Tuesday. Although expectations point to a neutral tone from Governor Stevens, traders will closely follow the statement, especially in light of the recent CapEx figures. Jane Foley, Senior Currency Strategist at Rabobank, commented, “Given our view that the USD has embarked on a long term recovery, we see AUD/USD edging lower on a long term view. However, we see risk of a short-covering rally in AUD/USD near-term with a view that AUD/USD will edge down towards 0.84 on a 12 mth view”
AUD/USD key levels
At the moment the pair is losing 0.37% at 0.8518 and a breakdown of 0.8480 (low Nov.26) would expose 0.8450 (low Jul.7 2010) and then 0.8315 (low Jul.1 2010). On the other hand, the initial hurdle aligns at 0.8619 (high Nov.25) ahead of 0.8648 (10-d MA) and finally 0.8673 (21-d MA).
AUD/USD weaker ahead of RBA
The offered tone remains intact around AUD, with spot navigating the current leg lower sparked after November tops in the boundaries of 0.8800 the figure. Next of note in Australia will be the RBA monetary policy meeting due on Tuesday. Although expectations point to a neutral tone from Governor Stevens, traders will closely follow the statement, especially in light of the recent CapEx figures. Jane Foley, Senior Currency Strategist at Rabobank, commented, “Given our view that the USD has embarked on a long term recovery, we see AUD/USD edging lower on a long term view. However, we see risk of a short-covering rally in AUD/USD near-term with a view that AUD/USD will edge down towards 0.84 on a 12 mth view”
AUD/USD key levels
At the moment the pair is losing 0.37% at 0.8518 and a breakdown of 0.8480 (low Nov.26) would expose 0.8450 (low Jul.7 2010) and then 0.8315 (low Jul.1 2010). On the other hand, the initial hurdle aligns at 0.8619 (high Nov.25) ahead of 0.8648 (10-d MA) and finally 0.8673 (21-d MA).