30 Jul 2013
AUD/USD is supported 0.9060
FXstreet.com (London) - AUD/USD is under pressure with risk from China, and a dovish RBA next week.
AUD/USD has dropped in Asia and is a worst performer in the G10’s amid Governor Stevens’ overnight remarks, where he essentially welcomed a weaker currency and a rate cut has been speculated for next week. Meanwhile, the dollar has been mixed across the board with some minor data releases. Tomorrow will pick up pace with a number of key releases in focus, and finally FOMC.
AUD/USD negative bias
Karen Jones, Head of FICC Technical Analysis at Commerzbank said AUD/USD remains reluctant to challenge the key resistance at 0.9388/0.9405 and while capped here a downside bias will persist. She said these are the 2011 low and highs from 2009 and 2010. “To trigger another leg lower we suspect that the market will need to sustain a break back below 0.9000. Intraday charts are suggesting we will see a possible rebound to 0.9200 ahead of further weakness”.
Longer term, she said, the close below 0.9147 which has been seen recently is bearish and we consider that the next target of 0.8550 is engaged.
AUD/USD has dropped in Asia and is a worst performer in the G10’s amid Governor Stevens’ overnight remarks, where he essentially welcomed a weaker currency and a rate cut has been speculated for next week. Meanwhile, the dollar has been mixed across the board with some minor data releases. Tomorrow will pick up pace with a number of key releases in focus, and finally FOMC.
AUD/USD negative bias
Karen Jones, Head of FICC Technical Analysis at Commerzbank said AUD/USD remains reluctant to challenge the key resistance at 0.9388/0.9405 and while capped here a downside bias will persist. She said these are the 2011 low and highs from 2009 and 2010. “To trigger another leg lower we suspect that the market will need to sustain a break back below 0.9000. Intraday charts are suggesting we will see a possible rebound to 0.9200 ahead of further weakness”.
Longer term, she said, the close below 0.9147 which has been seen recently is bearish and we consider that the next target of 0.8550 is engaged.