AUD/USD Off-Lows, Re-takes 0.7700 Amid Thin Markets

AUD/USD Off-Lows, Re-takes 0.7700 Amid Thin Markets

25 April 2016, 05:55
Roberto Jacobs

AUD/USD Off-Lows, Re-takes 0.7700 Amid Thin Markets

The AUD/USD pair trims losses and re-attempts 0.77 handle in the Asian session this Monday, extending weakness for the fourth straight session.

AUD/USD bounces-off 0.7690

Currently, the AUD/USD pair now drops -0.14% to 0.7700, having posted day’s low at 0.7690 and day’s high at 0.7716. The Aussie is seen consolidating the downside after last week’s heavy declines, as markets gear up for some central bank action this week. The FOMC decision is due Wednesday, followed by RBNZ and BOJ policy meetings scheduled on Thursday.

Besides, the prices remain under pressure this session as a cautious sentiment tone prevails in holiday-thinned markets, with both the Asian stock and oil markets under heavy selling pressure (WTI drops -1.30%, while Brent loses -1%).

Nothing of note for the major in the Asian calendar as the OZ markets remain closed in observance of national holiday. While in the US session, we have new home sales data on the cards.

AUD/USD Levels to watch

The pair finds the immediate resistance at 0.7728/30 (10 & 5-DMA) above which gains could be extended to the next hurdle located at 0.7775 (1h 100-SMA). On the flip side, the immediate support located at 0.7684/69 (daily S3/ 20-DMA). Selling pressure is likely to intensify below the last, dragging the Aussie 0.7616/00 (Apr 14 Low/ round number).


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