AUD/USD Outlook 30th December 2015
AUD/USD is moving away from the highs in a lackluster drift in an FX space missing volume.
The backdrop of it comes with a recovery in both commodities and risk overnight, starting in European trade as it got going. US stocks were firm with the DJIA posting triple-digit gains and the S&P turning positive year-to-date, assisted by a quick, albeit, minor recovery in oil prices.
In Asia, oil started to come off and the Aussie mirrors it while copper is consolidated and gold is slightly bid. Chinese non-manufacturing and NBS manufacturing PMI’s for December are at the end of the week and year while otherwise we welcome back full markets and look to 2016 for impetus in the Central Banks and oil.
Technically, the 20 DMA remains at 0.7242 as a support below the pivot of 0.7283. On the upside, the 200 DMA at 0.7417 pressures from above on the wide and as equally wide, below the 3-month uptrend at 0.7086, level wise, the 0.7017 November low and the September low is at 0.6940.