AUD/USD: A Correction Lower Is Overdue; Above 0.80 To Be Met With RBA Opposition – BTMU

The Australian dollar enjoyed the hawkish meeting minutes from the RBA[1]. Attempts to dampen the expectations were not successful. What’s next? The big number can provide a trigger.

Here is their view, courtesy of eFXnews:

BTMU FX Strategy Research argues that AUD/USD looks over-extended based on policy expectations given there has been no sign of any change in forward guidance and given the low level of inflation and the record low levels of hourly wage growth.

“So Deputy Governor Debelle’s comments will help to cap AUD/USD for now. Of course USD sentiment is fragile and broad FX sentiment still points to upside risks. But we would expect levels above 0.8000 to be met with more explicit opposition by RBA officials that will help curtail gains.

AUD/USD is 7% higher since the start of June and a correction lower is overdue,” BTMU adds.

For lots more FX trades from major banks, sign up to eFXplus[2]

By signing up to eFXplus via the link above, you are directly supporting Forex Crunch.

Get the 5 most predictable currency pairs[3]

from Forex Crunch

from Online Forex Trading Resource
View thesource article here


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s