FXStreet (Mumbai) – AUD/USD recovered slightly from fresh five year lows in the European morning, although remains heavily sold-off amid sliding commodities, China slowdown fears and persistent risk-aversion
fuelled by Greek talks.
AUD/USD printed fresh multi-year lows at 0.7372
Currently, the AUD/USD pair trades -0.78% at 0.7394, recovering from 0.7372 lows. The pair remains deep in red and every attempt to the upside is squashed as China stocks rout led commodity slump continue to weigh on the resource-linked Aussie. China is Australia’s top export destination.
Moreover, China slowdown worries ahead of China’s CPI data tomorrow coupled with Greece induced risk-off trades continue to dampen broader market sentiment, dragging the Aussie to multi-year lows.
Meanwhile, markets will now shift their focus towards FOMC minutes set to be released later in the US session. The central bank’s policymakers made clear they intend to raise the benchmark interest rates after a period of record low borrowing costs. Traders will analyse the documents for further hints about when such a scenario may occur.
AUD/USD Technical Levels
The pair has an immediate resistance at 0.7400 levels, above which gains could be extended to 0.7456 (Today’s High) levels. On the flip side, support is seen at 0.7372 (Today’s Low) levels from here it to 0.7350 levels.
(Market News Provided by FXstreet)