8 May 2015
AUD/USD recovers to 0.7900
FXStreet (Mumbai) - The Australian dollar remains weak versus the US dollar in the mid-Asian session, with AUD/USD keep the same range circa 0.79 handle, largely as traders continue to digest weak China trade data as well as RBA monetary policy statement. While focus now shifts to the key US NFP figures due later today.
AUD/USD forms a spinning top on daily chart
Currently, the AUD/USD dropped nearly -0.10% and trades at 0.7900, having posted day’s lows at 0.7864 and day’s high at 0.7926. AUD/USD eased on Friday and has formed a spinning top candle on daily chart which indicates indecision with traders cautious ahead of US non-farm payrolls data.
AUD/USD remains pressured in Asia after RBA’s policy statement mentioned that the Australian dollar remains overvalued and continues to restrict the economy's transition out of the mining-boom era. Further, downbeat trade data from China also added to losses in the Aussie. China is Australia’s top export destination.
China trade balance data showed that exports fell 6.1% y/y in April, adding to March's 15% decline in exports. Chinese imports also continued their bad run, falling for the sixth month in a row in April. Imports were down 16.2% y/y in April, coming in weaker than the expected 10.5% decline.
AUD/USD Technical Levels
The pair has an immediate resistance at 0.7926 levels, above which gains could be extended to 0.7950 levels. On the flip side, support is seen at 0.7864 levels from here it to 0.7830 levels.
AUD/USD forms a spinning top on daily chart
Currently, the AUD/USD dropped nearly -0.10% and trades at 0.7900, having posted day’s lows at 0.7864 and day’s high at 0.7926. AUD/USD eased on Friday and has formed a spinning top candle on daily chart which indicates indecision with traders cautious ahead of US non-farm payrolls data.
AUD/USD remains pressured in Asia after RBA’s policy statement mentioned that the Australian dollar remains overvalued and continues to restrict the economy's transition out of the mining-boom era. Further, downbeat trade data from China also added to losses in the Aussie. China is Australia’s top export destination.
China trade balance data showed that exports fell 6.1% y/y in April, adding to March's 15% decline in exports. Chinese imports also continued their bad run, falling for the sixth month in a row in April. Imports were down 16.2% y/y in April, coming in weaker than the expected 10.5% decline.
AUD/USD Technical Levels
The pair has an immediate resistance at 0.7926 levels, above which gains could be extended to 0.7950 levels. On the flip side, support is seen at 0.7864 levels from here it to 0.7830 levels.