5 Mar 2015
AUD/USD: Bearish below 0.7895
FXStreet (Guatemala) - AUD/USD is currently trading at 0.7816 with a high of 0.7824 and a low of 0.7814.
0.7801 is holding area of support on repeated tests that came of supply at 0.7840 yesterday and from 0.7850/60 overnight. The RBA held but is leaving the door open while Stevens said, “Further easing of policy may be appropriate over the period ahead, in order to foster sustainable growth in demand and inflation consistent with the target”, and as noted by Jane Foley Senior Currency Strategist at Rabobank, also explaining that Stevens had indicated that the housing market was a major factor behind the decision.
Technically, Foley added, "Assuming the RBA cuts rates again in the coming months and that commodity prices remain weak, we see risk of AUD/USD dropping to 0.74 on a 6 mth view." While Karen Jones, chief analyst at Commerzbank remains bearish also, " The market has not yet dislodged any resistance, so for now will maintain a negative bias while below the 0.7895 downtrend."
0.7801 is holding area of support on repeated tests that came of supply at 0.7840 yesterday and from 0.7850/60 overnight. The RBA held but is leaving the door open while Stevens said, “Further easing of policy may be appropriate over the period ahead, in order to foster sustainable growth in demand and inflation consistent with the target”, and as noted by Jane Foley Senior Currency Strategist at Rabobank, also explaining that Stevens had indicated that the housing market was a major factor behind the decision.
Technically, Foley added, "Assuming the RBA cuts rates again in the coming months and that commodity prices remain weak, we see risk of AUD/USD dropping to 0.74 on a 6 mth view." While Karen Jones, chief analyst at Commerzbank remains bearish also, " The market has not yet dislodged any resistance, so for now will maintain a negative bias while below the 0.7895 downtrend."