AUD/USD: thin trading but 0.7070 is key downside support

By FXStreet FXStreet (Guatemala) – AUD/USD has been making a recovery into the year end from the lows below the 0.70 handle, a key position that was highlighted in last week’s “What will 2016 bring to the Forex traders?” ran by FXStreet with a panel of experts, including Boris Schlossberg who explained AUD/USD is bid above 0.7000 while Adam Button, MD at Forexlive, was bearish in respect to the dubious jobs data and commodity markets.

The RBA have already been very clear on their policy and that they are on hold.
2nd Feb will be the next judgment day in that respect in the market when the RBA meets, but it might be too soon in the year for the RBA to wish to review its monetary stance while China remains the elephant in the room in respect to trade and commodity markets.

However, services retail and jobs are holding the economy up among the commodity sector headwinds, but a contraction there could be something that forces the hand of the RBA while dollar strength could be something welcomed in 2016 as Stevens feels there is still more downside to go in AUD/USD.

AUD/USD levels

Technically, to the downside, …read more

Source:: FX Street