6 Sep 2013
Flash: Cautiously short AUD/USD, 0.93/0.9350 to hold - JP Morgan
FXstreet.com (Barcelona) - Asian-based JP Morgan FX Strategists are not placing too much faith in this AUD/USD rally, arguing "the domestic outlook has not improved sufficiently to warrant much more of a rally."
Key Quotes
"With US 10s at 3.00 and locally Retail Sales in Aus, Trade Balance numbers would all disappoint while GDP would be in line, one would probably be pretty happy to sell AUD on a 2% rally around 0.9150."
"Pivotal resistance is up around 0.9300/50 and simply cannot see this level breaking without some very significant improvement in the domestic numbers."
"Cautiously short, leaving room to add at 0.9180/0.9250."
Key Quotes
"With US 10s at 3.00 and locally Retail Sales in Aus, Trade Balance numbers would all disappoint while GDP would be in line, one would probably be pretty happy to sell AUD on a 2% rally around 0.9150."
"Pivotal resistance is up around 0.9300/50 and simply cannot see this level breaking without some very significant improvement in the domestic numbers."
"Cautiously short, leaving room to add at 0.9180/0.9250."