Forex: AUD/USD still consolidating 2-month upside
Forex pairs in this Article »
AUD/USD
FXstreet.com (Barcelona) - After climbing all the way to 1.0585 high in December, adding more that 400 pips since 1.0150 October low, the AUDUSD entered a consolidative phase that is still ongoing. Profit taking has taken the cross to 1.0504 low so far, and the market is trading lower for the third day in a row.
RBA Governor Stevens replied to the OID markets' calculation of 64% chance of a rate cut in February, saying that "monetary policy has limits to fine tuning", but that there's no "totemic significance" to reducing the cash rate below its current record low of 3%.
UBS analysts are bullish on the AUDUSD: "As long as support at 1.0489 holds, the risk is for resumption of strength", wrote Gareth Barry, pointing to resistance at 1.0586 ahead of 1.0625.
RBA Governor Stevens replied to the OID markets' calculation of 64% chance of a rate cut in February, saying that "monetary policy has limits to fine tuning", but that there's no "totemic significance" to reducing the cash rate below its current record low of 3%.
UBS analysts are bullish on the AUDUSD: "As long as support at 1.0489 holds, the risk is for resumption of strength", wrote Gareth Barry, pointing to resistance at 1.0586 ahead of 1.0625.
Free Annual Reports
