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31 Jul 2014
AUD/USD breaches 0.9300
FXStreet (Edinburgh) - The greenback continues its march north on Thursday, dragging the AUD/USD back below the 0.9300 handle.
AUD/USD in multi-week lows
The Aussie dollar is extending its correction lower from recent tops below 0.9480 posted last week, in a context where the demand for the USD keeps accelerating. Recent US GDP results above estimates plus a hawkish tone from the FOMC in yesterday’s meeting saw the USD gaining further upside momentum, dragging spot lower. Next of relevance for the pair will be tomorrow’s manufacturing PMI in China ahead of the US Payrolls (233K exp.). “The break below the strong support at 0.9360 was unexpected and sent the AUD reeling to a low 0.9301. Despite the subsequent rebound, the outlook for AUD remains weak and further down-move is still expected for today. Allow for a recovery towards 0.9345 but as long as 0.9360/65 is intact, this should lead to another attempt to take out the support at 0.9300”, noted Quek Ser Leang, Market Strategist at UOB Group.
AUD/USD levels to consider
As of writing the pair is losing 0.37% at 0.9296 with the next support at 0.9257 (low Jun.5) ahead of 0.9253 (low Jun.4) and then 0.9229 (low Jun.3). On the upside, a break above 0.9336 (low Jul.18) would expose 0.9342 (low Jul.30) and finally 0.9390 (high Jul.30).
AUD/USD in multi-week lows
The Aussie dollar is extending its correction lower from recent tops below 0.9480 posted last week, in a context where the demand for the USD keeps accelerating. Recent US GDP results above estimates plus a hawkish tone from the FOMC in yesterday’s meeting saw the USD gaining further upside momentum, dragging spot lower. Next of relevance for the pair will be tomorrow’s manufacturing PMI in China ahead of the US Payrolls (233K exp.). “The break below the strong support at 0.9360 was unexpected and sent the AUD reeling to a low 0.9301. Despite the subsequent rebound, the outlook for AUD remains weak and further down-move is still expected for today. Allow for a recovery towards 0.9345 but as long as 0.9360/65 is intact, this should lead to another attempt to take out the support at 0.9300”, noted Quek Ser Leang, Market Strategist at UOB Group.
AUD/USD levels to consider
As of writing the pair is losing 0.37% at 0.9296 with the next support at 0.9257 (low Jun.5) ahead of 0.9253 (low Jun.4) and then 0.9229 (low Jun.3). On the upside, a break above 0.9336 (low Jul.18) would expose 0.9342 (low Jul.30) and finally 0.9390 (high Jul.30).