30 Jul 2013
AUD/USD consolidates below 0.9100
FXstreet.com (Edinburgh) -Horrible results from the construction sector in Australia plus dovish comments from RBA’s Stevens were enough to send the AUD/USD below 0.9100 the figure on Tuesday, opening the door for another leg of weakness in the Aussie dollar.
AUD/USD vs. RBA
Building Permits in Australia contracted 6.9% on a monthly basis, extending the yearly decline to 13.0%. In light of the RBA meeting next week, Governor Stevens’s tone in today’s speech left almost no doubts about another rate cut by the central bank. “As the tone of the speech expressed a lack of confidence in the non-mining sector taking up the slack left by the cessation of the mining boom, we bring forward our Nov rate cut to next week”, commented Annette Beacher, Head of Research at TD Securities.
AUD/USD levels to watch
At the moment the pair is losing 1.59% at 0.9060 and a break below 0.9038 (low Jul.3) would expose 0.9000 (psychological level) and then 0.8871 (high July 2007). On the upside, resistance levels align at 0.9296 (high Jul.26) ahead of 0.9320 (high Jul.24).
AUD/USD vs. RBA
Building Permits in Australia contracted 6.9% on a monthly basis, extending the yearly decline to 13.0%. In light of the RBA meeting next week, Governor Stevens’s tone in today’s speech left almost no doubts about another rate cut by the central bank. “As the tone of the speech expressed a lack of confidence in the non-mining sector taking up the slack left by the cessation of the mining boom, we bring forward our Nov rate cut to next week”, commented Annette Beacher, Head of Research at TD Securities.
AUD/USD levels to watch
At the moment the pair is losing 1.59% at 0.9060 and a break below 0.9038 (low Jul.3) would expose 0.9000 (psychological level) and then 0.8871 (high July 2007). On the upside, resistance levels align at 0.9296 (high Jul.26) ahead of 0.9320 (high Jul.24).