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9 Sep 2015
AUD/USD off highs, near 0.7050 post RBA’s Lowe
FXStreet (Mumbai) - The Aussie keeps its upbeat moment intact, although eased-off fresh weekly highs reached near the upper band of 0.70 handle following the RBA Deputy Governor Philip Lowe’s speech.
AUD/USD holds above hourly 200-SMA
Currently, the AUD/USD pair trades 0.48% higher at 0.7052, unable to extend beyond 0.7070 levels. The AUD/USD pair trimmed gains as the latest Aus consumer confidence disappointed markets big time, thus stalling further upside in the pair.
The Westpac-Melbourne Institute Consumer Sentiment Index tumbled 5.6% to 93.9 points in September from 99.5 in August.
However, overall upbeat sentiment towards higher yielding currencies and optimistic comments from RBA’s Lowe underpin the Australian dollar, keeping AUD/USD supported above the hourly 200-SMA.
RBA Lowe talked up the domestic currency stating that lower AUD is helping economy to spur growth in the currency volatile global scenario. He also added, “Movements in China stock market likely to have only limited impact on overall Chinese economy.”
Markets now await US economic data due later in the New York session ahead of the crucial China CPI data and Aus employment report to be released tomorrow.
AUD/USD Levels to watch
The pair has an immediate resistance at 0.7070 (Today’s High) levels, above which gains could be extended to 0.7100 levels. On the flip side, support is seen at 0.7015 (Today’s Low) levels from here it to 0.6980 (Sept 2 Low).
AUD/USD holds above hourly 200-SMA
Currently, the AUD/USD pair trades 0.48% higher at 0.7052, unable to extend beyond 0.7070 levels. The AUD/USD pair trimmed gains as the latest Aus consumer confidence disappointed markets big time, thus stalling further upside in the pair.
The Westpac-Melbourne Institute Consumer Sentiment Index tumbled 5.6% to 93.9 points in September from 99.5 in August.
However, overall upbeat sentiment towards higher yielding currencies and optimistic comments from RBA’s Lowe underpin the Australian dollar, keeping AUD/USD supported above the hourly 200-SMA.
RBA Lowe talked up the domestic currency stating that lower AUD is helping economy to spur growth in the currency volatile global scenario. He also added, “Movements in China stock market likely to have only limited impact on overall Chinese economy.”
Markets now await US economic data due later in the New York session ahead of the crucial China CPI data and Aus employment report to be released tomorrow.
AUD/USD Levels to watch
The pair has an immediate resistance at 0.7070 (Today’s High) levels, above which gains could be extended to 0.7100 levels. On the flip side, support is seen at 0.7015 (Today’s Low) levels from here it to 0.6980 (Sept 2 Low).