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26 Aug 2013
AUD/USD eases from peaks
FXstreet.com (Edinburgh) -After climbing to levels beyond 0.9040, the AUD/USD is now back around 0.9030 as investors’ preference for safer assets is weighing on the Aussie dollar.
AUD/USD bearish outlook remains
It seems the Aussie dollar is trying to stabilize around the 0.9000 handle, although domestic pressure for a weaker currency and the recent USD strength would be plotting against the current resilience of the AUD. “A weaker currency is a necessary condition for full economic rebalancing in Australia. It will likely happen one way or the other – ideally without another rate cut, but if a cut is needed the RBA will not be found wanting… In anticipation of the Fed announcing the beginning of QE3 tapering at the Sept 17-18 FOMC, we lower both our 1m and 3m AUDUSD forecasts to 0.88 (from 0.90)”, assessed G.Yu and G.Berry at UBS.
AUD/USD significant levels
The pair is now losing 0.09% at 0.9028 with the next support at 0.8970 (low Aug.23) followed by 0.8959 (23.6% of 0.9320-0.8848) and finally 0.8932 (low Aug.22). On the flip side, a break above 0.9050 (high Aug.23) would expose 0.9068 (high Aug.21) and then 0.9083 (Tenkan line).
AUD/USD bearish outlook remains
It seems the Aussie dollar is trying to stabilize around the 0.9000 handle, although domestic pressure for a weaker currency and the recent USD strength would be plotting against the current resilience of the AUD. “A weaker currency is a necessary condition for full economic rebalancing in Australia. It will likely happen one way or the other – ideally without another rate cut, but if a cut is needed the RBA will not be found wanting… In anticipation of the Fed announcing the beginning of QE3 tapering at the Sept 17-18 FOMC, we lower both our 1m and 3m AUDUSD forecasts to 0.88 (from 0.90)”, assessed G.Yu and G.Berry at UBS.
AUD/USD significant levels
The pair is now losing 0.09% at 0.9028 with the next support at 0.8970 (low Aug.23) followed by 0.8959 (23.6% of 0.9320-0.8848) and finally 0.8932 (low Aug.22). On the flip side, a break above 0.9050 (high Aug.23) would expose 0.9068 (high Aug.21) and then 0.9083 (Tenkan line).