6 Mar 2014
AUD/USD resilient above 0.9000
FXStreet (Edinburgh) - The Aussie dollar quickly left behind the 0.9000 handle on Thursday, pushing the AUD/USD to fresh highs near 0.9040 although currently retracing to 0.9010/15.
AUD/USD boosted by data
The pair finally managed to break above the psychological 0.9000 handle after January’s trade surplus in Oz was largely higher than expected at A$1,433 million vs. A$270 million estimated, with a significant increase of exports. Further data also showed than retail sales rose 1.2% inter-month in January, well above forecasts and December’s print. “Despite this more positive recent news however, ultimately any AUD rally over the next week or two should be sold in our view, in anticipation of an eventual resumption of the long term downtrend – especially if iron ore prices continue to slide. Our 3m AUDUSD forecast remains at 0.86”, commented strategists at UBS.
AUD/USD levels to watch
The pair is now up 0.35% at 0.9018 facing the next resistance at 0.9033 (high Mar.6) followed by 0.9080 (high Feb.17) and finally 0.9086 (2014 high Jan.13). On the flip side, a breakdown of 0.8953 (low Mar.5) would open the door to 0.8891 (low Mar.3) and then 0.8873 (low Feb.5).
AUD/USD boosted by data
The pair finally managed to break above the psychological 0.9000 handle after January’s trade surplus in Oz was largely higher than expected at A$1,433 million vs. A$270 million estimated, with a significant increase of exports. Further data also showed than retail sales rose 1.2% inter-month in January, well above forecasts and December’s print. “Despite this more positive recent news however, ultimately any AUD rally over the next week or two should be sold in our view, in anticipation of an eventual resumption of the long term downtrend – especially if iron ore prices continue to slide. Our 3m AUDUSD forecast remains at 0.86”, commented strategists at UBS.
AUD/USD levels to watch
The pair is now up 0.35% at 0.9018 facing the next resistance at 0.9033 (high Mar.6) followed by 0.9080 (high Feb.17) and finally 0.9086 (2014 high Jan.13). On the flip side, a breakdown of 0.8953 (low Mar.5) would open the door to 0.8891 (low Mar.3) and then 0.8873 (low Feb.5).