AUD/USD: in the hands of the bears at around new trend lows 0.7836

Currently, AUD/USD is trading at 0.7853, up 0.05% on the day, having posted a daily high at 0.7857 and low at 0.7848.

AUD/USD has been consolidating the lows made over the last several sessions but unable to shrug off the dollar's resurgence, capped and faded on rallies in the 0.7880's having opened in NY at 0.7860 after a new trend low down at (0.7836) that was scored in Europe's morning session.

US Durable Goods Orders: Positive momentum heading into year-end - Wells Fargo

US data in durable goods was pressuring the bulls back again towards the o/n low although there was a pickup in metal prices in NY that helped them along with Trump's tax reform details that weighed on dollar positioning as a non-event and take profit opportunity. AUD/USD met the hourly resistance in the 0.7880/90 zone and 20 pips were picked up to 0.7860 later in the session.  

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"The next downside target is 0.7810 (mid-Aug low), subject to the US dollar rally persisting," analysts at Westpac argued and explained that if the RBA remains firmly on hold, as we expect, and the US dollar rises on tighter Fed policy, then AUD/USD could fall to 0.76 by year-end.

Other commodity currency news:

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• RBNZ keeps interest rates on hold at 1.75%
• BOC's Poloz continues to speak: temporary factors holding down inflation will dissipate

AUD/USD levels

Valeria Bednarik, chief analyst at FXStreet explained that technical readings in the 4 hours chart indicate that the pair is at risk of extending its decline, as the price develops below a strongly bearish 20 SMA. "The 200 EMA begins gaining downward strength. Technical indicators in the mentioned chart are flat within oversold readings, rather reflecting the latest short-term bounce than suggesting downward exhaustion," Valeria added. 

"Below the mentioned low, the pair has room to extend its downward move towards 0.7807, August low and a line in the sand for a longer-term sustainable dollar recovery," Valeria further noted.