5 Feb 2014
AUD/USD retreats, back below 0.8900
FXStreet (Córdoba) - The AUD/USD is moving to the downside early in Asia, retreating after hitting during the American session at 0.8941, the highest price in almost three weeks, boosted by the RBA statement.
Stocks in Australia are falling after opening with gains while in Japan the Nikkei 225 opened up 1.40% but at the moment of writing is rising just 0.38%. As stocks lost momentum, the AUD/USD accelerated the retreated.
AUD/USD technical outlook
According to Jim Langlands, from FX Charts, the momentum indicators all point to higher ground, “although the shorter term charts are now becoming overbought and we may need some consolidation”. “The Aud is going to run into headwinds up here, with the 55 DMA lying right ahead at 0.8950 and then more importantly, the 100 Month MA is at 0.8967”.
To the downside, Langlands points out that the market seems to be caught rather short still: “dips should find keen buyers at minor support levels at 0.8915 and 0.8900. Below that would see more substantial support at 0.8870 and then at 0.8830, but which looks pretty safe today”.
Stocks in Australia are falling after opening with gains while in Japan the Nikkei 225 opened up 1.40% but at the moment of writing is rising just 0.38%. As stocks lost momentum, the AUD/USD accelerated the retreated.
AUD/USD technical outlook
According to Jim Langlands, from FX Charts, the momentum indicators all point to higher ground, “although the shorter term charts are now becoming overbought and we may need some consolidation”. “The Aud is going to run into headwinds up here, with the 55 DMA lying right ahead at 0.8950 and then more importantly, the 100 Month MA is at 0.8967”.
To the downside, Langlands points out that the market seems to be caught rather short still: “dips should find keen buyers at minor support levels at 0.8915 and 0.8900. Below that would see more substantial support at 0.8870 and then at 0.8830, but which looks pretty safe today”.