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AUD/USD struggles below 0.9050 as Shanghai sells-off

FXstreet.com (Barcelona) - AUD/USD exchange rate is struggling to hold above the 0.9050, currently at 0.9044 from 0.9060 NY close last Friday.

Shanghai index, ANZ jobs weighing on the AUD/USD

The AUD/USD has been pushed low off intraday resistance at 0.9960 following a major drop in the early going of the Shanghai session, where the SSE Composite Index stands at 1,955, -51 points lower for the day, or -2.56%. Besides,the ANZ Job Advertisements for the month of June came at -1.8%, not helping to lift the AUD/USD.

AUD/USD technical outlook

According to Jim Langlands, Founder at FXCharts, 0.9000 is next target in focus, saying "there really is not an awful lot of support to hold it ahead of the base of, firstly the minor channel (as per the 4 four hour chart) currently at 0.8910, and then at the base of the major weekly channel, currently at around 0.8875..." On the topside, Langlands notes "we could definitely still see a bounce but I suspect there are an awful lot of importers and asset managers who would like to be able to sell the Aud at higher levels and it maybe that rallies will therefore continue to be limited."

All lower in Asia but the Nikkei

All local share markets are trading currently in the red with the exception of Japanese Nikkei, lead by the Shanghai Composite index that is down more than -2% at the moment.
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USD/JPY off session highs at 101.50

The USD/JPY foreign exchange rate is last trading at 101.19, flat for the day so far, off recent session highs at 101.52, selling off in the back of local share markets “down on Beijing talk of stifling credit to old industries,” said Reuters Asian markets editor Nachum Kaplan.
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