26 Aug 2015
AUD/Ud downside opening up below 0.71 handle
FXStreet (Guatemala) - AUD/USD is currently trading around the 0.71 handle with a high of 0.7259 and a low of 0.7069.
AUD/USD continues on the downside and is making fresh lows since Black Monday's mayhem low of 0.7031. There has been very little in the way of news from Australia, only sentiment that China will be highly problematic for the economy, and RBA's Stevens, although not going in to any great detail as only being an observer of the National Reform Summit that he was attending and speaking at for a short matter of time, did hint that external factors were weighing on Australia's growth prospects.
However, more concrete fundamentals from today's session were the durable goods numbers that came in far better than expected and lifted the greenback, pressuring the Aussie to the downside along with the rest of the commodity bloc currency sector.
Also, the Fed chat we have been hearing has not written off a Fed hike but it does seem as though September will be too soon given the external circumstances of the global uncertainties and how these will play out on the US economy needs time for consideration and further monitoring, despite the Fed having had over a decade already to focus on when a change ion policy might be appropriate, but we digress.
AUD/USD technical outlook
Technically, the base of the two-year channel at 0.7180/60 has been left for dust and that is bearish. 0.7160 gave way to 0.7120 support overnight and exposed the downside below the 0.71 handle. On follow through, 0.7030's are the August lows ahead of the 0.7016 March 2006 lows. These levels guard 0.7000 ahead of the 2004 June low of 0.6772 on the longer term targets.
AUD/USD continues on the downside and is making fresh lows since Black Monday's mayhem low of 0.7031. There has been very little in the way of news from Australia, only sentiment that China will be highly problematic for the economy, and RBA's Stevens, although not going in to any great detail as only being an observer of the National Reform Summit that he was attending and speaking at for a short matter of time, did hint that external factors were weighing on Australia's growth prospects.
However, more concrete fundamentals from today's session were the durable goods numbers that came in far better than expected and lifted the greenback, pressuring the Aussie to the downside along with the rest of the commodity bloc currency sector.
Also, the Fed chat we have been hearing has not written off a Fed hike but it does seem as though September will be too soon given the external circumstances of the global uncertainties and how these will play out on the US economy needs time for consideration and further monitoring, despite the Fed having had over a decade already to focus on when a change ion policy might be appropriate, but we digress.
AUD/USD technical outlook
Technically, the base of the two-year channel at 0.7180/60 has been left for dust and that is bearish. 0.7160 gave way to 0.7120 support overnight and exposed the downside below the 0.71 handle. On follow through, 0.7030's are the August lows ahead of the 0.7016 March 2006 lows. These levels guard 0.7000 ahead of the 2004 June low of 0.6772 on the longer term targets.