8 Apr 2015
AUD/USD: Faded ahead of FOMC minutes
FXStreet (Guatemala) - AUD/USD is currently trading at 0.7710 with a high of 0.7729 and a low of 0.7633.
AUD/USD struggles with the upside on the 0.77 handle and the bears continue to fade rallies. The overall theme remains bearish, with the bounce in commodities running their course and markets pricing in a rate cut from the RBA for May given their on hold stance from the past couple of meetings, against the general consensus in the market for a rate cut. While there has been alight calendar otherwise, coming up today we have the FOMC minutes and there could be some activity around the release where a dovish tone is expected, miring the previous statement that accompanied the March 'on hold' decision from the Fed.
Technically, Karen Jones, chief analyst at Commerzbank noted that AUD/USD’s decline from its March high at 0.7938 has so far taken it to a near six year low at 0.7534 in early April, a level above which it still hovers. "Below it lies the two month support line at 0.7511. Once it has given way, the October 2006 low at 0.7416 will be in focus, followed by the 0.7369 July 2005 low."
AUD/USD struggles with the upside on the 0.77 handle and the bears continue to fade rallies. The overall theme remains bearish, with the bounce in commodities running their course and markets pricing in a rate cut from the RBA for May given their on hold stance from the past couple of meetings, against the general consensus in the market for a rate cut. While there has been alight calendar otherwise, coming up today we have the FOMC minutes and there could be some activity around the release where a dovish tone is expected, miring the previous statement that accompanied the March 'on hold' decision from the Fed.
Technically, Karen Jones, chief analyst at Commerzbank noted that AUD/USD’s decline from its March high at 0.7938 has so far taken it to a near six year low at 0.7534 in early April, a level above which it still hovers. "Below it lies the two month support line at 0.7511. Once it has given way, the October 2006 low at 0.7416 will be in focus, followed by the 0.7369 July 2005 low."