22 Jul 2013
AUD/USD clinging to 0.9200
FXstreet.com (Edinburgh) -The better tone in the risk appetite propelled the AUD/USD to the vicinity of 0.9240 on Monday, although giving away some pips afterwards to the current proximities of 0.9200.
AUD/USD eyes on CPI and China’s PMI
Quite interesting week ahead for the Aussie dollar as the inflation figures during the second quarter are due on Wednesday and will be a key data to be considered by the RBA in its next meeting. Advanced Chinese manufacturing PMI would also have some impact on the pair, as is expected to improve a tad to 48.5 in July. According to Sean Callow, Strategist at Westpac, “Friday’s CFTC report showed speculators in currency futures stopped short-covering AUD and indeed extended net shorts… So there is plenty of fuel for short-covering rallies if the news flow is supportive but we doubt this week’s China PMI and Australian Q2 CPI (both Wed) will help AUD’s cause”.
AUD/USD levels to watch
As of writing the pair is up 0.32% at 0.9208 with the next hurdle at 0.9235 (high Jul.19) ahead of 0.9242 (high Jul.18) and finally 0.9292 (high Jul.17). On the downside, a break below 0.9181 (MA21d) would expose 0.9170 (MA10d) and then 0.9155 (low Jul.19).
AUD/USD eyes on CPI and China’s PMI
Quite interesting week ahead for the Aussie dollar as the inflation figures during the second quarter are due on Wednesday and will be a key data to be considered by the RBA in its next meeting. Advanced Chinese manufacturing PMI would also have some impact on the pair, as is expected to improve a tad to 48.5 in July. According to Sean Callow, Strategist at Westpac, “Friday’s CFTC report showed speculators in currency futures stopped short-covering AUD and indeed extended net shorts… So there is plenty of fuel for short-covering rallies if the news flow is supportive but we doubt this week’s China PMI and Australian Q2 CPI (both Wed) will help AUD’s cause”.
AUD/USD levels to watch
As of writing the pair is up 0.32% at 0.9208 with the next hurdle at 0.9235 (high Jul.19) ahead of 0.9242 (high Jul.18) and finally 0.9292 (high Jul.17). On the downside, a break below 0.9181 (MA21d) would expose 0.9170 (MA10d) and then 0.9155 (low Jul.19).