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5 Jun 2013
AUD/USD unable to maintain ground above 0.9700
FXstreet.com (Barcelona) - The Aussie finished the day sharply lower, down 120 pips at 0.9648 with the main catalyst for the sell off being comments from Governor Stevens presented in the most recent RBA Rate Statement. Market participants should be aware it will be another busy session of economic data out of Australia with GDP due out at 1:30GMT.
According to David Song, Currency Analyst at DailyFX, “the Australia dollar struggled to hold its ground following the Reserve Bank of Australia interest rate decision as Governor Glenn Stevens left the door open to push the benchmark interest rate to a fresh record-low, but the higher-yielding currency may regain its footing over the next 24-hours of trading as the 1Q GDP report is expected to show the $1T economy expanding at a faster pace."
"The AUD/USD gave up all its Monday gains, as the RBA made it clear: the Central Bank, wants a weaker Aussie. The pair regained the bearish bias, and the hourly chart supports the view, as price develops below a strongly bearish 20 SMA while indicators stand in negative territory. In the 4 hours chart price is right below a flat 20 SMA and indicators hover around their midlines, giving not much clues on upcoming direction, but the downside is favored towards 0.9527 past week low," noted Val Bednarik of FXStreet.com
According to David Song, Currency Analyst at DailyFX, “the Australia dollar struggled to hold its ground following the Reserve Bank of Australia interest rate decision as Governor Glenn Stevens left the door open to push the benchmark interest rate to a fresh record-low, but the higher-yielding currency may regain its footing over the next 24-hours of trading as the 1Q GDP report is expected to show the $1T economy expanding at a faster pace."
"The AUD/USD gave up all its Monday gains, as the RBA made it clear: the Central Bank, wants a weaker Aussie. The pair regained the bearish bias, and the hourly chart supports the view, as price develops below a strongly bearish 20 SMA while indicators stand in negative territory. In the 4 hours chart price is right below a flat 20 SMA and indicators hover around their midlines, giving not much clues on upcoming direction, but the downside is favored towards 0.9527 past week low," noted Val Bednarik of FXStreet.com