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AUD/USD slipping once again on “risk off” trade; 0.9282 is last hope for bulls

FXstreet.com (Barcelona) - The AUD/USD cross is tumbling as apparently the desire to sell the Aussie as a risk asset is slightly more intense than the desire to avoid the greenback on US Government concerns.

Scary in Italy + sickening in the US = a run from risk globally

The potential collapse of the Italian government and the ongoing dysfunction of the US government have investors and traders understandably on edge as the new week begins. The AUD/USD is being treated as a risk asset and is thus being sold late Sunday / early Monday.

Early Monday, AUD/USD traders will get Aussie securities inflation and private sector credit data to digest. Later Monday, they will be monitoring the release of the Chicago PMI and the Dallas Fed Manufacturing Index out of the US.

Technical outlook for AUD/USD

The AUD/USD has a little room to fall as “correction support” is rapidly approaching at 0.9282. AUD/USD bulls will need to hold firm at that level if they are to have a chance at victory short-term. The next target on the downside if 0.9282 fails is 0.9253. Resistance comes into play at 0.9456.

EUR/USD, potential toward, and possibly above $1.37 - BBH

While Marc Chandler, Global Head of Currency Strategy at BBH, expects a deterioration in both political and economical fronts in the euro area, which should potentially support a EUR/USD short, he still foresee further dollar weakness to continue in the near future until such weaker EUR/USD prospects materialize.
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Flash: Net USD specs flat, 1st time since Feb 2013 - HSBC

As HSBC notes, total long USD positions fell to USD2.3bn in the week ended September 14 from USD10.7bn the previous week, as per futures contracts that traded on the IMM up until last Tuesday.
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