15 Nov 2013
AUD/USD returns to test 0.9350, large option at 0.94
FXstreet.com (Barcelona) - AUD/USD appears to have curved out a low for the week at 0.9265 amid the inability of sellers to meet the same level after two failed attempts of retest since findings its temporary bottom.
Keep an eye on 0.9350, 0.94 options
Sizeable options worth $1.07B in total are due to expire later at the NY cut at 0.9400, while 0.9350 also offers some optionality-related interest with over $250m. Looking at technicals, based on ichimoku price theory, a D wave was activated on Nov 8, day when swing low 0.9420 was taken out, extending the projection for a new wave lower with 0.91 as pre-measured target.
Yellen may guarantee period of consolidation for the AUD/USD
However, for today's trading, on the back of a reinforced perception of a dovish Fed under the upcoming management of appointed Chairwoman Janet Yellen, the Australian Dollar - 2nd weakest currency this week after the Yen - may enjoy some increase in bids vs the USD, although the likelihood is that the action will develop confined in a 0.93-0.9380/0.94 range.
Keep an eye on 0.9350, 0.94 options
Sizeable options worth $1.07B in total are due to expire later at the NY cut at 0.9400, while 0.9350 also offers some optionality-related interest with over $250m. Looking at technicals, based on ichimoku price theory, a D wave was activated on Nov 8, day when swing low 0.9420 was taken out, extending the projection for a new wave lower with 0.91 as pre-measured target.
Yellen may guarantee period of consolidation for the AUD/USD
However, for today's trading, on the back of a reinforced perception of a dovish Fed under the upcoming management of appointed Chairwoman Janet Yellen, the Australian Dollar - 2nd weakest currency this week after the Yen - may enjoy some increase in bids vs the USD, although the likelihood is that the action will develop confined in a 0.93-0.9380/0.94 range.