16 Jul 2013
AUD/USD extends the upside, 0.9200 on the horizon
FXstreet.com (Edinburgh) - The Aussie dollar is marching firmly on Tuesday, pushing the AUD/USD to the upper end of the range and closer to the key resistance at 0.9200.
AUD/USD propped up by minutes
Despite the dovish tone of today’s RBA minutes, the pair found some grip and is extending its advance bolstered by the prevailing risk-on tone in the FX markets. According to Greg Gibbs. FX Trading Strategist at RBS commented, “The depreciation in the AUD was a major feature ahead of the last RBA meeting and it appears to be clearly the reason the RBA held back from a further rate cut. While acknowledging the effective policy easing from a lower exchange rate, the RBA appeared keen for it to fall further, over time to offset the down-turn it sees coming in the resources sector and lower commodity prices”.
AUD/USD levels to watch
As of writing the pair is up 0.88% at 0.9190 with the next resistance at 0.9242 (resistance line) ahead of 0.9305 (high Jul.11) and finally 0.9328/44 (mid-June low). On the downside, a breach of 0.9036 (low Jul.15) would expose 0.9000 (psychological support) and then 0.8998 (2013 low Jul.12).
AUD/USD propped up by minutes
Despite the dovish tone of today’s RBA minutes, the pair found some grip and is extending its advance bolstered by the prevailing risk-on tone in the FX markets. According to Greg Gibbs. FX Trading Strategist at RBS commented, “The depreciation in the AUD was a major feature ahead of the last RBA meeting and it appears to be clearly the reason the RBA held back from a further rate cut. While acknowledging the effective policy easing from a lower exchange rate, the RBA appeared keen for it to fall further, over time to offset the down-turn it sees coming in the resources sector and lower commodity prices”.
AUD/USD levels to watch
As of writing the pair is up 0.88% at 0.9190 with the next resistance at 0.9242 (resistance line) ahead of 0.9305 (high Jul.11) and finally 0.9328/44 (mid-June low). On the downside, a breach of 0.9036 (low Jul.15) would expose 0.9000 (psychological support) and then 0.8998 (2013 low Jul.12).