3 Dec 2013
AUD/USD bounces off lows
FXstreet.com (Edinburgh) - The Aussie dollar remains below the 0.9100 handle on Tuesday, with the AUD/USD finding decent support in the mid-0.90s post-RBA meeting.
AUD/USD still ‘uncomfortably high’
Mixed data from the Australian docket showed upbeat results from retail sales in November (up 0.5%) while the current account deficit widened more than expected during the third quarter. The RBA left unchanged the refi rate at 2.5%, broadly in line with forecasts, however, the central bank expressed its concerns about the ‘still high’ level of the AUD. Annette Beacher, Strategist at TD Securities, observed, “ The RBA Board appears to prefer the AUD to be below $US0.90, but in our view is unlikely to actually do anything material to get it there. Instead, the RBA is likely to leave the Fed to do the heavy lifting on the currency with tapering expected to strengthen the USD next year”.
AUD/USD significant levels
As of writing the pair is losing 0.18% at 0.9088 with the immediate support at 0.9038 (low Sep.4) ahead of the psychological mark at 0.9000. On the upside, a breakout of 0.9204 (high Nov.26) would expose 0.9249 (high Nov.22) and finally 0.9355 (high Nov.21).
AUD/USD still ‘uncomfortably high’
Mixed data from the Australian docket showed upbeat results from retail sales in November (up 0.5%) while the current account deficit widened more than expected during the third quarter. The RBA left unchanged the refi rate at 2.5%, broadly in line with forecasts, however, the central bank expressed its concerns about the ‘still high’ level of the AUD. Annette Beacher, Strategist at TD Securities, observed, “ The RBA Board appears to prefer the AUD to be below $US0.90, but in our view is unlikely to actually do anything material to get it there. Instead, the RBA is likely to leave the Fed to do the heavy lifting on the currency with tapering expected to strengthen the USD next year”.
AUD/USD significant levels
As of writing the pair is losing 0.18% at 0.9088 with the immediate support at 0.9038 (low Sep.4) ahead of the psychological mark at 0.9000. On the upside, a breakout of 0.9204 (high Nov.26) would expose 0.9249 (high Nov.22) and finally 0.9355 (high Nov.21).