26 Mar 2014
AUD/USD flirts around 0.9200
FXStreet (Edinburgh) - The AUD’s upside found strong resistance in the area of 0.9200 on Wednesday, now dragging the AUD/USD a tad lower to 0.9190/85.
AUD/USD firmer after RBA
The current AUD rally found extra legs on the upbeat remarks of the domestic economy by Governor Stevens in his speech in Honk Kong, confirming expectations for a period of stability in interest rates. “While the upturn in economic data suggests AUD/USD may find additional support near-term, comments such as those from RBA Deputy Governor Lowe this morning that a lower AUD plays an important stabilising role are likely to be used to keep the value of the currency in check and temper upside potential near-term. Medium-term, downside growth risk from China and from low investment levels suggest that AUD/USD is still likely to push lower. We maintain a 12 mth forecast of AUD/USD0.86”, commented Jane Foley, Senior Currency Strategist at Rabobank.
AUD/USD levels to watch
A of writing the pair is up 0.34% at 0.9196 with the next resistance at 0.9200 (psychological level). On the downside, a breakdown of 0.9048 (low Mar.24) would expose 0.9032 (low Mar.21) and then 0.9000 (psychological level).
AUD/USD firmer after RBA
The current AUD rally found extra legs on the upbeat remarks of the domestic economy by Governor Stevens in his speech in Honk Kong, confirming expectations for a period of stability in interest rates. “While the upturn in economic data suggests AUD/USD may find additional support near-term, comments such as those from RBA Deputy Governor Lowe this morning that a lower AUD plays an important stabilising role are likely to be used to keep the value of the currency in check and temper upside potential near-term. Medium-term, downside growth risk from China and from low investment levels suggest that AUD/USD is still likely to push lower. We maintain a 12 mth forecast of AUD/USD0.86”, commented Jane Foley, Senior Currency Strategist at Rabobank.
AUD/USD levels to watch
A of writing the pair is up 0.34% at 0.9196 with the next resistance at 0.9200 (psychological level). On the downside, a breakdown of 0.9048 (low Mar.24) would expose 0.9032 (low Mar.21) and then 0.9000 (psychological level).