24 Oct 2013
AUD/USD attempts consolidation above 0.9640 front
FXstreet.com (Chicago) - AUD/USD reacts positively to better than expected Chinese data attempting to
consolidate above the 0.9640 front.
Jim Langlands from FXcharts states that “the Aud spiked up to 0.9755 after the stronger than expected CPI but that was as good as it got and once it was announced that China’s biggest banks tripled the amount of bad loans written off in the first half of the year and that rates might be on the rise to curb inflation – thus slowing demand -, it was all downhill for the Aud. Really the Aud did pretty much as we thought it might do over the last few sessions, and having reached the long term objective above 0.9700, it has corrected nicely and looks as though it could have further to go on the downside in the next session or two. The 4 hour charts are pointing aggressively lower and having taken out 0.9625 (rising trend support / 23.6% of 0.9280/0.9730) in heading to a low of 0.9606 we could move on towards the next Fibo level at 0.9576 and possibly on towards 0.9550 and then to the rising trend support at 0.9525.”
AUD/USD Technical Levels
Technically speaking, the pair is offered at 0.9636 and oscillates between the supports aligned at 0.96 (October 23rd lows), 0.9551 (October 15th highs) ahead of 0.9494 (October 15th lows) and the resistances set at 0.9681 (October 21st highs), 0.9729 (October 22nd highs) followed by 0.9757 (October 23rd highs). Bouncing off from 0.9609 session lows, the pair seems to react positively to Chinese data that was better than expected. Printing higher highs and lows, the pair seems on corrective move after fall from 0.97 altitudes yesterday. The pair hovers on the EMA20.
consolidate above the 0.9640 front.
Jim Langlands from FXcharts states that “the Aud spiked up to 0.9755 after the stronger than expected CPI but that was as good as it got and once it was announced that China’s biggest banks tripled the amount of bad loans written off in the first half of the year and that rates might be on the rise to curb inflation – thus slowing demand -, it was all downhill for the Aud. Really the Aud did pretty much as we thought it might do over the last few sessions, and having reached the long term objective above 0.9700, it has corrected nicely and looks as though it could have further to go on the downside in the next session or two. The 4 hour charts are pointing aggressively lower and having taken out 0.9625 (rising trend support / 23.6% of 0.9280/0.9730) in heading to a low of 0.9606 we could move on towards the next Fibo level at 0.9576 and possibly on towards 0.9550 and then to the rising trend support at 0.9525.”
AUD/USD Technical Levels
Technically speaking, the pair is offered at 0.9636 and oscillates between the supports aligned at 0.96 (October 23rd lows), 0.9551 (October 15th highs) ahead of 0.9494 (October 15th lows) and the resistances set at 0.9681 (October 21st highs), 0.9729 (October 22nd highs) followed by 0.9757 (October 23rd highs). Bouncing off from 0.9609 session lows, the pair seems to react positively to Chinese data that was better than expected. Printing higher highs and lows, the pair seems on corrective move after fall from 0.97 altitudes yesterday. The pair hovers on the EMA20.