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4 Sep 2015
AUD/USD: 2-way business circa 0.70, key level at 0.6980
FXStreet (Bali) - AUD/USD remains highly volatile around the 0.70 handle, with decent 2-way business being conducted amid risk-off conditions were aggravated since the kick-off of the Tokyo session.
While sellers continue to push the pair lower, in line with the strong downtrend context the pair trades, solid bids keep emerging sub-70s with today's low at 0.6988 seeing a rejection as high as 0.7008 in a matter of minutes, in a session with no Asian risk events in the calendar. Other than monitoring volatile risk dynamics, traders have now shifted the focus to today's US NFP.
AUD/USD levels to watch
The point of control intraday appears to be at 0.7022/25 area, implying that while below this level, any buys are a very risky endeavor. That said, the stubbornness of the 0.70 level to be cleanly broken suggests a period of distribution/profit taking ahead of the NFP risk event. Stop loss orders continue being reports sub 0.6980, with a break below allowing the next target at Day S2 pivot at 0.6950 ahead of 0.6915 Day S3 pivot.
While sellers continue to push the pair lower, in line with the strong downtrend context the pair trades, solid bids keep emerging sub-70s with today's low at 0.6988 seeing a rejection as high as 0.7008 in a matter of minutes, in a session with no Asian risk events in the calendar. Other than monitoring volatile risk dynamics, traders have now shifted the focus to today's US NFP.
AUD/USD levels to watch
The point of control intraday appears to be at 0.7022/25 area, implying that while below this level, any buys are a very risky endeavor. That said, the stubbornness of the 0.70 level to be cleanly broken suggests a period of distribution/profit taking ahead of the NFP risk event. Stop loss orders continue being reports sub 0.6980, with a break below allowing the next target at Day S2 pivot at 0.6950 ahead of 0.6915 Day S3 pivot.