8 Mar 2015
AUD/USD may soon target 0.7625 - FXStreet
FXStreet (Bali) - Following the blockbuster US NFP last Friday, and with Chinese trade balance figures not supporting the AUD (major drop in imports), the AUD/USD looks poised to investigate lower levels going forward, notes Vleria Bednarik, Chief Analyst at FXStreet, expecting 0.7625 year low as feasible target.
Key Quotes
"During the weekend, news showed that Chinese exports rose 48.3% from a year earlier, leaving a trade surplus of $60.62 billion, well above forecasted. However, early interbank trading shows that the pair will likely start the week gapping lower, with the data failing to support the Australian currency."
"Technically, the 1 hour chart shows that price has been consolidating below former support around 0.7750 after breaking below it, and that the 20 SMA maintains a neat bearish slope above the current level, while the technical indicators have turned flat near oversold readings."
"In the 4 hours chart the bearish tone also prevails, with the price developing well below its 20 SMA and the indicators hovering near oversold levels. The immediate short term support for the upcoming hours stands at 0.7690, with a break below it probably triggering stops and fueling further declines towards this year low of 0.7625."
Key Quotes
"During the weekend, news showed that Chinese exports rose 48.3% from a year earlier, leaving a trade surplus of $60.62 billion, well above forecasted. However, early interbank trading shows that the pair will likely start the week gapping lower, with the data failing to support the Australian currency."
"Technically, the 1 hour chart shows that price has been consolidating below former support around 0.7750 after breaking below it, and that the 20 SMA maintains a neat bearish slope above the current level, while the technical indicators have turned flat near oversold readings."
"In the 4 hours chart the bearish tone also prevails, with the price developing well below its 20 SMA and the indicators hovering near oversold levels. The immediate short term support for the upcoming hours stands at 0.7690, with a break below it probably triggering stops and fueling further declines towards this year low of 0.7625."