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5 Jun 2013
AUD/USD continues to be offered in London
FXstreet.com (London) - AUD/USD has struggled to clear 0.9800 resistance level and has shed over 230 pips to trade it its lowest levels 29th May to print 0.9557 in London.
Australian GDP data disappointed expectations at 0.6% q/q, 2.5% y/y in Q1 (consensus 0.7%, 2.7%) and was the worst performing currency globally on the back of this with AUD/USD breaking back down through 0.9600. Analysts at Commerzbank said that it is not clear to how far the corrective rally will go but the market is struggling to clear the 0.9780/0.9895 resistance (23.6% and 38.2% retracement of the move lower seen recently). “Risks remain on the downside and we have minor support at .9585 ahead of the recent low at .9528,” said Karen Jones, a senior analyst at Commerzbank. She continued to say that market has recently fallen into 19 month lows and beyond a small rebound they look for another leg lower to 0.9404/0.9388, the inter-year pivot and our medium term downside target.
For the week ahead, data wise, traders will be looking at NFP’s with anticipation, but before then, today comes the beige book and ISM non-manufacturing for May. Markets are looking for the services PMI to rise from 52.9 to 53.1.
Australian GDP data disappointed expectations at 0.6% q/q, 2.5% y/y in Q1 (consensus 0.7%, 2.7%) and was the worst performing currency globally on the back of this with AUD/USD breaking back down through 0.9600. Analysts at Commerzbank said that it is not clear to how far the corrective rally will go but the market is struggling to clear the 0.9780/0.9895 resistance (23.6% and 38.2% retracement of the move lower seen recently). “Risks remain on the downside and we have minor support at .9585 ahead of the recent low at .9528,” said Karen Jones, a senior analyst at Commerzbank. She continued to say that market has recently fallen into 19 month lows and beyond a small rebound they look for another leg lower to 0.9404/0.9388, the inter-year pivot and our medium term downside target.
For the week ahead, data wise, traders will be looking at NFP’s with anticipation, but before then, today comes the beige book and ISM non-manufacturing for May. Markets are looking for the services PMI to rise from 52.9 to 53.1.