AUD/USD Mixed Amidst Cautious Sentiment
AUD/USD - H4
The US Dollar is weighed today by the decline in US 10Year Yields in the aftermath of the Fed's tapering decision last week, but overall cautious sentiment along with dovish RBA and pressure on oil prices, make it hard for the Aussie to benefit.
Last week's decline knocked the pair below its 200Day EMA and despite subsequent recovery, it remains below this level. As such, it is vulnerable to fresh selling pressure towards its monthly lows (0.7359), but a break and a sustained move below it, does not seem easy at this stage.
AUD/USD manages to covers its initial losses and this momentum can drive it higher into more solid ground. If it wants to retake 0.7479 though and look beyond 0.7500, improvement in broader sentiment is going to be needed.
The pair may struggle for firm direction as investors await CPI inflation data from China and US on Wednesday, while Australia Employment figures are due a day later.
Past Performance: Past Performance is not an indicator of future results.
Nikos Tzabouras
Senior Financial Editorial Writer
Nikos Tzabouras is a graduate of the Department of International & European Economic Studies at the Athens University of Economics and Business. With extensive experience in market analysis and a strong foundation in international relations, he brings a unique perspective to financial markets. Nikos emphasizes not only technical analysis but also on fundamentals and the growing influence of geopolitics on financial trends.
As a Senior Financial Editorial Writer, he delivers comprehensive and forward-looking insights across a wide range of asset classes, including equities, commodities, and currencies. His work explores how macroeconomic events, political developments, and global policies impact market dynamics, providing readers with a deeper understanding of both short-term movements and long-term trends.
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