17 Jun 2015
AUD/USD at critical bearish levels on iron ore prices
FXStreet (Guatemala) - AUD/USD is currently offered and is trading at 0.7730 with a high of 0.7758 and a low of 0.7727.
AUD/USD has dropped on the back of commodity prices and iron ore falling to near all time lows. The price had been tentatively offered but the crosses are taking effect on the major with AUD/JPY has taken out the 200 DMA which is significant and bears are taking full control down to critical levels in the major commodity currency.
Technically, the rising wedge formation could come under threat but it is unlikely to simply fall out based on the above fundamentals and especially ahead of the FOMC coming up which may otherwise be a more likely suspect for such an event.
In any case, If tested and broken now to the downside then this could be the catalyst for the next leg towards yearly lows while contained below the 0.7788 level and 55 day ma. On a break lower the next target could be the 0.7534 level and April low ahead of the base of the 2 year down channel at 0.7258.
AUD/USD has dropped on the back of commodity prices and iron ore falling to near all time lows. The price had been tentatively offered but the crosses are taking effect on the major with AUD/JPY has taken out the 200 DMA which is significant and bears are taking full control down to critical levels in the major commodity currency.
Technically, the rising wedge formation could come under threat but it is unlikely to simply fall out based on the above fundamentals and especially ahead of the FOMC coming up which may otherwise be a more likely suspect for such an event.
In any case, If tested and broken now to the downside then this could be the catalyst for the next leg towards yearly lows while contained below the 0.7788 level and 55 day ma. On a break lower the next target could be the 0.7534 level and April low ahead of the base of the 2 year down channel at 0.7258.