18 Sep 2013
AUD/USD finds offers in the 0.9500 handle during Bernanke’s press conference
FXstreet.com (London) - AUD/USD soared to reach a high of 0.9510 on the back of the FED and a dovish FOMC.
AUD/USD is decisively stronger were the USD is on the back foot on a shocking result to markets that had been widely expecting the FED to start its tapering programme. However, their decision had been to keep things as they are due to a worse outlook in regards to recent disappointing housing and unemployment data and headwinds that they see ahead. Bernanke says there will be low rates for at least two more years and there will be NO tapering in his term at least due to the housing sector and unemployment numbers keeping rates at a unusually low level’s. With the headwinds that the economy faces, he cant see rates rising until 2016.
AUD/USD capped at 0.9510
Karen Jones, Chief Analyst at Commerzbank said that above .9410/33 there is a risk of a move to the .9510 38.2% retracement prior to failure and that has so far stood to be true “We view current move as a potential a-b-c correction”. 0.9600 would take us back to June markets and failures here would offer a cup and handle formation. RSI (14) is reading 84 and offers a negative bias and an over bought scenario.
AUD/USD is decisively stronger were the USD is on the back foot on a shocking result to markets that had been widely expecting the FED to start its tapering programme. However, their decision had been to keep things as they are due to a worse outlook in regards to recent disappointing housing and unemployment data and headwinds that they see ahead. Bernanke says there will be low rates for at least two more years and there will be NO tapering in his term at least due to the housing sector and unemployment numbers keeping rates at a unusually low level’s. With the headwinds that the economy faces, he cant see rates rising until 2016.
AUD/USD capped at 0.9510
Karen Jones, Chief Analyst at Commerzbank said that above .9410/33 there is a risk of a move to the .9510 38.2% retracement prior to failure and that has so far stood to be true “We view current move as a potential a-b-c correction”. 0.9600 would take us back to June markets and failures here would offer a cup and handle formation. RSI (14) is reading 84 and offers a negative bias and an over bought scenario.