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13 Mar 2014
AUD/USD retreats from highs
FXStreet (Edinburgh) - The risk aversion abruptly irrupted in the markets, dragging the AUD/USD back to the 0.9030/25 region from recent highs beyond the 0.9100 handle.
AUD/USD reached 0.9100
The pair failed to convincingly break above the 0.9100 figure earlier on, hampering the strong recovery from yesterday’s troughs in sub-0.8940 levels. It is worth recalling that much stronger-stronger-than expected employment figures in Oz (47.3K in February) catapulted spot from the vicinity of the psychological mark at 0.9000 overnight. “It would be wrong to conclude that this is a turn in the weakening trend in the labour market, but it suggests the rise in unemployment remains gradual and the jobs market was better balanced in recent months… The RBA should remain firmly on hold, although with the housing market pointing to a rapid rise in residential building over the coming year, the bar is very high for a further rate cut”, commented Greg Gibbs, FX Strategist at RBS.
AUD/USD key levels
The pair is now up 0.76% at 0.9056 with the next resistance at 0.9135 (high Mar.7) ahead of 0.9152 (high Dec.11) and then 0.9155 (200-d MA). On the flip side, a breakdown of 0.8930 (50-d MA) would expose 0.8923 (low Mar.12) and finally 0.8909 (low Mar.4).
AUD/USD reached 0.9100
The pair failed to convincingly break above the 0.9100 figure earlier on, hampering the strong recovery from yesterday’s troughs in sub-0.8940 levels. It is worth recalling that much stronger-stronger-than expected employment figures in Oz (47.3K in February) catapulted spot from the vicinity of the psychological mark at 0.9000 overnight. “It would be wrong to conclude that this is a turn in the weakening trend in the labour market, but it suggests the rise in unemployment remains gradual and the jobs market was better balanced in recent months… The RBA should remain firmly on hold, although with the housing market pointing to a rapid rise in residential building over the coming year, the bar is very high for a further rate cut”, commented Greg Gibbs, FX Strategist at RBS.
AUD/USD key levels
The pair is now up 0.76% at 0.9056 with the next resistance at 0.9135 (high Mar.7) ahead of 0.9152 (high Dec.11) and then 0.9155 (200-d MA). On the flip side, a breakdown of 0.8930 (50-d MA) would expose 0.8923 (low Mar.12) and finally 0.8909 (low Mar.4).