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2 Feb 2015
AUD/USD recovers some ground after 0.7730 low
FXStreet (Bali) - AUD/USD traded as low as 0.7730 in inter-bank trading, following a downbeat official Chinese PMI and shocking political results out of Australia over the weekend, adding pressure to the ongoing bear trend in the pair.
In Australia, the Queensland state election offered a surprising results against the sitting premier, a party ally of Australian PM Tony Abbott, which was unexpectedly defeated, with some media comments suggesting that Tony Abbott’s prime ministership could soon be over, others claiming the Prime Minister as terminally wounded following the 'shocker'.
Technically, Valeria Bednarik, Chief Analyst at FXStreet, notes: "Short term, the 1 hour chart shows that the pair has been consolidating below the 0.7800 mark, for the most flat during the last 24 hours, although indicators maintain a bearish tone heading south into negative territory. In the 4 hours chart the technical picture is clearly bearish, with the price developing well below its 20 SMA whilst indicators aim lower near oversold territory."
In Australia, the Queensland state election offered a surprising results against the sitting premier, a party ally of Australian PM Tony Abbott, which was unexpectedly defeated, with some media comments suggesting that Tony Abbott’s prime ministership could soon be over, others claiming the Prime Minister as terminally wounded following the 'shocker'.
Technically, Valeria Bednarik, Chief Analyst at FXStreet, notes: "Short term, the 1 hour chart shows that the pair has been consolidating below the 0.7800 mark, for the most flat during the last 24 hours, although indicators maintain a bearish tone heading south into negative territory. In the 4 hours chart the technical picture is clearly bearish, with the price developing well below its 20 SMA whilst indicators aim lower near oversold territory."