AUD/USD: downside done yet?

By FXStreet FXStreet (Guatemala) – AUD/USD is still in the hands of the bears in the main with little respite from the risk aversion throughout financial markets besides some consolidation in the price currently. China will continue to weigh on the Aussie and commodity prices.

Eyes will remain on stocks, the Yuan and CNH/CNY spread and the performance of the Chinese stock markets and the PBoC and subsequent call to rescue actions. Oil is a huge factor also driving the price, making fresh lows in thee US session. Then, the Fed will be back to the table in the next weeks adding further fuel to the fire in respect to the performance of the US economy and timings of the the gradual pace of further tightening at the hands of the FOMC.

The long-term bear trend is targeting the 0.6907 lows of 2015 with little in the way of a test of lower still and bringing in the higher end of the financial crisis ranges, with a break of the 0.69 handle and then introducing the 0.6774 2004 low. Fundamentally, in respect of data, we await the Chinese trade balance and the Aussie jobs numbers as the …read more

Source:: FX Street