29 Oct 2013
AUD/USD testing 0.9500
FXstreet.com (Edinburgh) -The Aussie dollar is prolonging its negative sentiment after yesterday’s sharp sell-off, although the AUD/USD seems to have found strong support in the vicinity of 0.9500 the figure so far.
AUD/USD correcting from 0.9760
After hitting fresh multi-month highs in the area of 0.9760 last week, the pair commenced a corrective downside to re-test the region around the key support at 0.9500, amidst empty docket in Australia and with traders focusing on the FOMC meeting due tomorrow and the RBA gathering next week. “When it appears the Fed's taper is back on the table, we might expect the AUD to fall back towards 90, but weak pending home sales and a softer Dallas Fed Manufacturing Activity index overnight do not bring this any closer into view. Clearly there remains much uncertainty over when the Fed resumes taper talk”, observed Greg Gibbs, Strategist at RBS.
AUD/USD levels to watch
The pair is now retreating 0.63% at 0.9513 with the next support at 0.9499 (low Oct.16) followed by 0.9476 (low Oct.15) and then 0.9410 (low Oct.14). On the flip side, a breakout of 0.9616 (MA10d) would expose 0.9624 (high Oct.25) and finally 0.9671 (high Oct.24).
AUD/USD correcting from 0.9760
After hitting fresh multi-month highs in the area of 0.9760 last week, the pair commenced a corrective downside to re-test the region around the key support at 0.9500, amidst empty docket in Australia and with traders focusing on the FOMC meeting due tomorrow and the RBA gathering next week. “When it appears the Fed's taper is back on the table, we might expect the AUD to fall back towards 90, but weak pending home sales and a softer Dallas Fed Manufacturing Activity index overnight do not bring this any closer into view. Clearly there remains much uncertainty over when the Fed resumes taper talk”, observed Greg Gibbs, Strategist at RBS.
AUD/USD levels to watch
The pair is now retreating 0.63% at 0.9513 with the next support at 0.9499 (low Oct.16) followed by 0.9476 (low Oct.15) and then 0.9410 (low Oct.14). On the flip side, a breakout of 0.9616 (MA10d) would expose 0.9624 (high Oct.25) and finally 0.9671 (high Oct.24).