11 Aug 2015
AUD/USD dumped a full cent through stops on PBoC and local data
FXStreet (Guatemala) - AUD/USD is currently trading at 0.7339 with a high of 0.7439 and a low of 0.7337.
AUD/USD is in supply when the PBoC came out and instigated what had been expected of them in as much of the poor performances of the economy of late, and they have finally devalued the Yuan reference rate by 1.9%. The latest Yuan reference rate was set at 6.2298, prior close 6.2097. They have acted to maintain the currency at reasonable levels and to improve pricing mechanism for yuan fixing while increasing exchange rate flexibility.
Else where, Australia's NAB business confidence and conditions data has been published, with the business confidence for July coming at 4 vs 10, while business conditions for July stood at 6 vs 11.
Overnight, the greenback was feeling some pressure when Lockhart disappointed the bulls when although suggesting the time is near for a hike, he did not commit to September as being the appropriate time and the dollar will be vulnerable to weaker data, with retails sales coming up this week, with a potential and lower reading could occur in next week's CPI's and the FOMC minutes will also be a risk factor for the greenback next week. Fed's Vice Chairman Stanley Fischer suggested overnight that inflation remains weak and Fed's watcher WSJ Jon Hilsenrath explained that weaker inflation could complicate September liftoff putting an air of caution into shorts.
AUD/USD dropping below key support
Technically,AUD/USD has dropped away from the key resistances that it had been chipping away at on a recovery from where the price has just dropped and where it was finding demand on support. Supply is in again here taking the major even lower and below that support zone. On a break lower still, the 0.7250 area hovers above the 0.7235 July low guarding the base of the two-year channel at 0.7188, the long-term Fibonacci retracement at 0.7185 and the 14 year support line at 0.7144.
AUD/USD is in supply when the PBoC came out and instigated what had been expected of them in as much of the poor performances of the economy of late, and they have finally devalued the Yuan reference rate by 1.9%. The latest Yuan reference rate was set at 6.2298, prior close 6.2097. They have acted to maintain the currency at reasonable levels and to improve pricing mechanism for yuan fixing while increasing exchange rate flexibility.
Else where, Australia's NAB business confidence and conditions data has been published, with the business confidence for July coming at 4 vs 10, while business conditions for July stood at 6 vs 11.
Overnight, the greenback was feeling some pressure when Lockhart disappointed the bulls when although suggesting the time is near for a hike, he did not commit to September as being the appropriate time and the dollar will be vulnerable to weaker data, with retails sales coming up this week, with a potential and lower reading could occur in next week's CPI's and the FOMC minutes will also be a risk factor for the greenback next week. Fed's Vice Chairman Stanley Fischer suggested overnight that inflation remains weak and Fed's watcher WSJ Jon Hilsenrath explained that weaker inflation could complicate September liftoff putting an air of caution into shorts.
AUD/USD dropping below key support
Technically,AUD/USD has dropped away from the key resistances that it had been chipping away at on a recovery from where the price has just dropped and where it was finding demand on support. Supply is in again here taking the major even lower and below that support zone. On a break lower still, the 0.7250 area hovers above the 0.7235 July low guarding the base of the two-year channel at 0.7188, the long-term Fibonacci retracement at 0.7185 and the 14 year support line at 0.7144.