22 Dec 2014
AUD away from the multi year lows - FXStreet
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained the AUD/USD pair opens slightly higher after posting a multiyear low of 0.8106 last Wednesday.
"The downtrend however is firm in place, with the Aussie among the weakest currencies of the board, following EUR and JPY. The Australian currency has tumbled early December on worse than expected GDP readings in the third quarter, accelerating its decline".
"Furthermore, RBA Governor Stevens’ pledge for an AUD/USD at 0.7500 has fueled the slide. Short term the 1 hour chart shows that the price stands below its 20 SMA, whilst indicators aim higher but hold in negative territory still".
"In the 4 hours chart the price has been unable to overcome a strongly bearish 20 SMA that offers now immediate short term resistance around 0.8170, while momentum turned lower below 100".
"The downtrend however is firm in place, with the Aussie among the weakest currencies of the board, following EUR and JPY. The Australian currency has tumbled early December on worse than expected GDP readings in the third quarter, accelerating its decline".
"Furthermore, RBA Governor Stevens’ pledge for an AUD/USD at 0.7500 has fueled the slide. Short term the 1 hour chart shows that the price stands below its 20 SMA, whilst indicators aim higher but hold in negative territory still".
"In the 4 hours chart the price has been unable to overcome a strongly bearish 20 SMA that offers now immediate short term resistance around 0.8170, while momentum turned lower below 100".