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18 Mar 2014
AUD/USD RSI reading in overbought territory
FXStreet (Guatemala) - AUD/USD is making fresh highs and well through the 0.91 handle as RSI now reads in overbought territory.
AUD/USD was supported with US CPI data that was relatively in line with expectations, although February’s year on year read slightly lower at 1.1% missing the consensus of 1.2%. Meanwhile, strategists at TD Securities noted that the RBA Minutes from 4th March were released. “No major changes in RBA thinking were evident but the minutes reaffirm some hawkish elements from its 4th March statement, in particular noting the housing market is strong and will remain firm over coming quarters. The RBA is not concerned by these trends, nor does it believe housing activity has turned speculative but did suggest risk appetite and borrowing trends need to be monitored. Consistent with the RBA’s view that the gains in housing pose no threat, the RBA did mention ‘’cash rates could remain at current levels for some time’”.
AUD/USD Levels
The 20 DMA is 0.9004, the 50 DMA is 0.8932 and the 200 DMA is 0.9150. RSI (14) reads 75.88. Supports are ascending from 0.8980, 0.8990, 0.9004, 0.9050,
And 0.9080. Spot is 0.9135 while resistances 0.9147, 0.9169 and 0.9204.
AUD/USD was supported with US CPI data that was relatively in line with expectations, although February’s year on year read slightly lower at 1.1% missing the consensus of 1.2%. Meanwhile, strategists at TD Securities noted that the RBA Minutes from 4th March were released. “No major changes in RBA thinking were evident but the minutes reaffirm some hawkish elements from its 4th March statement, in particular noting the housing market is strong and will remain firm over coming quarters. The RBA is not concerned by these trends, nor does it believe housing activity has turned speculative but did suggest risk appetite and borrowing trends need to be monitored. Consistent with the RBA’s view that the gains in housing pose no threat, the RBA did mention ‘’cash rates could remain at current levels for some time’”.
AUD/USD Levels
The 20 DMA is 0.9004, the 50 DMA is 0.8932 and the 200 DMA is 0.9150. RSI (14) reads 75.88. Supports are ascending from 0.8980, 0.8990, 0.9004, 0.9050,
And 0.9080. Spot is 0.9135 while resistances 0.9147, 0.9169 and 0.9204.