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5 Jun 2013
AUD/USD 0.9600 but short-lived
FXstreet.com (London) - The AUD/USD has seen a high of 0.9611 this afternoon only to pair back its gains to the supporting line of 0.9550/60 region.
‘’With the RBA apparently on board with further AUD weakness, there are really only two things slowing it down. One is continued CNY appreciation. The other is the general aversion of markets to move too far too fast.’’ Said Shelley Pilgrimat BMO Capital Markets
Analysts at Commerzbank said that it is not clear to how far the corrective rally will go but the market is struggling to clear the 0.9780/0.9895 resistance (23.6% and 38.2% retracement of the move lower seen recently). “Risks remain on the downside and we have minor support at .9585 ahead of the recent low at .9528,” said Karen Jones, a senior analyst at Commerzbank. She continued to say that market has recently fallen into 19 month lows and beyond a small rebound they look for another leg lower to 0.9404/0.9388, the inter-year pivot and our medium term downside target.
Key support is 0.9535 and the key resistance 0.9725 but broadly targeting the downside 0.9400 from 1.0710
‘’With the RBA apparently on board with further AUD weakness, there are really only two things slowing it down. One is continued CNY appreciation. The other is the general aversion of markets to move too far too fast.’’ Said Shelley Pilgrimat BMO Capital Markets
Analysts at Commerzbank said that it is not clear to how far the corrective rally will go but the market is struggling to clear the 0.9780/0.9895 resistance (23.6% and 38.2% retracement of the move lower seen recently). “Risks remain on the downside and we have minor support at .9585 ahead of the recent low at .9528,” said Karen Jones, a senior analyst at Commerzbank. She continued to say that market has recently fallen into 19 month lows and beyond a small rebound they look for another leg lower to 0.9404/0.9388, the inter-year pivot and our medium term downside target.
Key support is 0.9535 and the key resistance 0.9725 but broadly targeting the downside 0.9400 from 1.0710