Flash: AUD/USD short term traders discouraged by failure to close above 0.9715 - Westpac

FXstreet.com (Athens) - The Westpac IQ team note that the key AUD/USD resistance level at 0.9715 we mentioned last week was only broken intra-day (post-CPI) with the failure to close above that figure likely to have discouraged some short term players.

Key Quotes

“Moreover, commodity prices have failed to keep up with AUD gains this month, suggesting consolidation or a little further near term downside risk. Yet the week’s US data slate and FOMC meeting are unlikely to inspire confidence in USD.”

“With the RBA on hold for now, a quiet local calendar and concern over China’s money markets likely to blow over, we suspect AUD/USD finds buyers ahead of 0.9520 support and trends back towards 0.97 over the week.”