AUD/USD: daily update
The day for AUD/USD started quite well: the pair was boosted by higher than expected Chinese PMI and rose to $0.9275. However, Aussie got rejected at this level and slid to the $0.9240 area.
What’s happening with Australian dollar? Will the pair resume the longer-term uptrend or the more recent downtrend?
On the one hand, yesterday the pair has formed a hammer near the lower daily Bollinger band. On the other hand, daily MACD has approached 0, RSI is below 50 and the trading is now taking place inside the Ichimoku Cloud. The key level to the downside is obviously $0.9205. A close below here will cause a move to the next support levels at $0.9150 and $0.9160. Resistance is at $0.9320 and $0.9395/9400.
On the fundamental part US dollar looks stronger as investors are worried about of possible further rate cuts by the RBA.
Chart. Daily AUD/USD