AUD/USD: Selling interest to persist - FXStreet

FXStreet (Bali) - According to Valeria Bednarik, Chief Analyst at FXStreet, notes that AUD/USD selling interest should re-emerge at higher levels as the market continues to price in further stimulus by the RBA.

Key Quotes

"The Australian dollar fell down to a fresh 3-week low against the greenback, with the pair reaching 0.7590 as expectations continue growing for another rate cut from the RBA next week, and commodities fell sharply, with iron ore, the nation’s biggest export, plunging to a decade low."

"The AUD/USD pair maintains the bearish tone in the short term, with the 1 hour chart showing price unable to extend above the 20 SMA, a few pips above the current level, while the Momentum indicator retraces from the 100 level and the RSI heads lower around 43."

"In the 4 hours chart the 20 SMA maintains a sharp bearish slope well above the current price, whilst the technical indicators remain in oversold territory. The pair may correct higher due to the continued decline seen over these last few days, although selling interest will likely surge at higher levels as the bears remain in control."