Back
18 Feb 2013
Forex: AUD/USD capped around 1.0300
The Australian dollar is following the rest of the high beta currencies on Monday, trading in the defensive territory as markets are favouring the risk aversion so far.
The Australian docket showed that New Motor Vehicle Sales contracted 2.4% MoM in January and increased 10.8% on a yearly basis.
“The Aussie should be range bound with a mild bias to buy dips in the low 1.02s. Pricing for an RBA cut on 5 Mar pulled back after consumer sentiment, while US yields are struggling to break higher, helping AUD/USD. But the resilience of USD/JPY is capping the Aussie ahead of 1.04 as JPY weakness spills across the region”, explained Sean Callow, Strategist at Westpac.
As of writing, AUD/USD is up 0.03% at 1.0295 with the next resistance at 1.0307 (low Feb.13) ahead of 1.0326 (low Feb.14) and then 1.0334 (MA10d).
On the downside, a break below 1.0270 (hourly high/lows Feb.12) would bring 1.0238 (Lower Bollinger) and finally 1.0203 (low Oct.15).
The Australian docket showed that New Motor Vehicle Sales contracted 2.4% MoM in January and increased 10.8% on a yearly basis.
“The Aussie should be range bound with a mild bias to buy dips in the low 1.02s. Pricing for an RBA cut on 5 Mar pulled back after consumer sentiment, while US yields are struggling to break higher, helping AUD/USD. But the resilience of USD/JPY is capping the Aussie ahead of 1.04 as JPY weakness spills across the region”, explained Sean Callow, Strategist at Westpac.
As of writing, AUD/USD is up 0.03% at 1.0295 with the next resistance at 1.0307 (low Feb.13) ahead of 1.0326 (low Feb.14) and then 1.0334 (MA10d).
On the downside, a break below 1.0270 (hourly high/lows Feb.12) would bring 1.0238 (Lower Bollinger) and finally 1.0203 (low Oct.15).