AUD Trading Outlook
The big break in the AUD crosses has certainly clouded my AUD/USD buy-dips view. If pairs like GBP/AUD continue to move higher then AUD/USD will remain heavy. Nevertheless, after a 250 pip fall this week I’m of the opinion that it’s fallen far enough. Play an intraday .9200/80 range with a bullish bias.
Patience required and swing trading is the order of the day in my opinion. The big levels are at .9225/.9455 and I’m looking to build a long position inside this range. The HSBC number could send the AUD/USD 50 pips either way but I think we need to be willing to counter-trade these moves.
Pick a range and trade the edges. Rallies towards .9455/60 will probably run into technical sellers and dips back under .9400 will attract bids from an intra-week market that’s modestly short of AUD. I’m still in buy-big-dip camp just in case any unexpected developments/statements drive it lower.
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