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12 Mar 2014
AUD/USD has paused at 0.8960 support after a deep fall
FXStreet (Moscow) - AUD/USD continues to slide in Asia as the pair moved to current low at 0.8960 and entered a consolidation phase.
The Aussie is not teflon anymore
NAB Business confidence came out worse than expected, Chinese economy is coming in for landing, and let’s pray that this landing will be soft, and the geopolitical risks have sky rocketed. But the Aussie traders just didn’t care. They followed the simple motto of optimists that bad things do not deserve much attention. But Aussie bears managed to push AUD/USD below 0.9000 where the technical factors came into play and the pair finished the day at 0.8977, worsening the outlook. It seems that today’s Westpac consumer sentiment index and general risk-off mode of the market has become the last straw that has breaks the camel’s back. If this is the case, then AUD/USD will remain under pressure at least until Thursday, when Australian jobs report is published. There has been a worsening in labour market conditions but people hope that the worst is likely to be over and the employment level is about to start growing. This idea might keep the Aussie above the key support zone of 0.8937-0.8923 over the near term. The resistance is seen at 0.9000.
What are today’s key AUD/USD levels?
Today's central pivot point can be found at 0.8997, with support below at 0.8941, 0.8906 and 0.8850, with resistance above at 0.9032, 0.9088 and 0.9123. Hourly Moving Averages are bearish, with the 200SMA at 0.8994 and the daily 20EMA at 0.8985. Hourly RSI is neutral at 32.
The Aussie is not teflon anymore
NAB Business confidence came out worse than expected, Chinese economy is coming in for landing, and let’s pray that this landing will be soft, and the geopolitical risks have sky rocketed. But the Aussie traders just didn’t care. They followed the simple motto of optimists that bad things do not deserve much attention. But Aussie bears managed to push AUD/USD below 0.9000 where the technical factors came into play and the pair finished the day at 0.8977, worsening the outlook. It seems that today’s Westpac consumer sentiment index and general risk-off mode of the market has become the last straw that has breaks the camel’s back. If this is the case, then AUD/USD will remain under pressure at least until Thursday, when Australian jobs report is published. There has been a worsening in labour market conditions but people hope that the worst is likely to be over and the employment level is about to start growing. This idea might keep the Aussie above the key support zone of 0.8937-0.8923 over the near term. The resistance is seen at 0.9000.
What are today’s key AUD/USD levels?
Today's central pivot point can be found at 0.8997, with support below at 0.8941, 0.8906 and 0.8850, with resistance above at 0.9032, 0.9088 and 0.9123. Hourly Moving Averages are bearish, with the 200SMA at 0.8994 and the daily 20EMA at 0.8985. Hourly RSI is neutral at 32.