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20 May 2015
AUD/USD: Mixed on FOMC minutes
FXStreet (Guatemala) - AUD/USD is currently trading at 0.7889 with a high of 0.7936 and a low of 0.7859 post the FOMC minutes.
AUD/USD has been in a 60 pip range around the FOMC minutes while the greenback was firstly sold off, bid and has since resumed the downside with the Aussie taking full advantage and pressing the 0.7900 resistance and moving against the descending trend. The minutes didn't give us any surprises and most of the members do not see June as the month for a rate hike which the market was already betting for.
Technically, we are still well above the 0.7790/86 55 DMA and 61.8% retracement where Karen Jones has identified as being the break down point to the 0.75434 April low. Analysts at UOB Group identified 0.7950 support as a significant level and a break of it would add further AUD weakness towards the key support at 0.7865. "Only a break below 0.7865 would suggest that we have seen an important top at 0.8164 last week and AUD could then extend much lower in the coming weeks". The analysts added that only a move back above 0.8010 would indicate that a temporary low is in place."
AUD/USD has been in a 60 pip range around the FOMC minutes while the greenback was firstly sold off, bid and has since resumed the downside with the Aussie taking full advantage and pressing the 0.7900 resistance and moving against the descending trend. The minutes didn't give us any surprises and most of the members do not see June as the month for a rate hike which the market was already betting for.
Technically, we are still well above the 0.7790/86 55 DMA and 61.8% retracement where Karen Jones has identified as being the break down point to the 0.75434 April low. Analysts at UOB Group identified 0.7950 support as a significant level and a break of it would add further AUD weakness towards the key support at 0.7865. "Only a break below 0.7865 would suggest that we have seen an important top at 0.8164 last week and AUD could then extend much lower in the coming weeks". The analysts added that only a move back above 0.8010 would indicate that a temporary low is in place."