24 Aug 2015
AUD/USD: Oversold but risk remains to downside - FXStreet
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained that the AUD/USD pair fell to a fresh 6-year low of 0.7039 at the beginning of the American session.
Key Quotes:
"The Aussie is usually extremely vulnerable to Chinese turmoil, and with commodities also under pressure, the antipodean currency collapsed, despite the generalized dollar's sell-off."
"Following the intraday 200 pips decline, the pair recovered up to 0.7249, meeting selling interest around a strongly bearish 20 SMA in the hourly chart. The technical indicators in the mentioned time frame, are well below their mid-lines, with the RSI indicator consolidating near oversold levels and maintaining the risk towards the downside."
"In the 4 hours chart, the 20 SMA presents a strong bearish slope above the current level, whilst the technical indicators have lost their bearish potential, but hold steady in oversold territory, supporting the shorter term outlook."
Key Quotes:
"The Aussie is usually extremely vulnerable to Chinese turmoil, and with commodities also under pressure, the antipodean currency collapsed, despite the generalized dollar's sell-off."
"Following the intraday 200 pips decline, the pair recovered up to 0.7249, meeting selling interest around a strongly bearish 20 SMA in the hourly chart. The technical indicators in the mentioned time frame, are well below their mid-lines, with the RSI indicator consolidating near oversold levels and maintaining the risk towards the downside."
"In the 4 hours chart, the 20 SMA presents a strong bearish slope above the current level, whilst the technical indicators have lost their bearish potential, but hold steady in oversold territory, supporting the shorter term outlook."