The technical picture doesn't look all too pretty for the aussie
For AUD/USD, yesterday's push below the 100 and 200-day MAs (red and blue lines respectively) was met with further selling today and the pair looks set for a test of 0.7700 at this point. The technical picture looks weak, and with the dollar's resurgence it only compounds the move to the downside further.
We had Australian capex data this morning, it wasn't pretty, and as Eamonn pointed out, will also eat into the Q4 GDP results when they are released next week. That was a good enough reason for traders in the Asian session to pile on the aussie.
And against the kiwi, the aussie is not getting any reprieve either. Sellers are now prevailing after buyers failed to break above the 50.0 retracement level in yesterday's trading, and it's making for a painful day in trading for the aussie today.
The AUD is now down 0.43% on the day against the dollar, dragging the kiwi a little as well which is down by 0.09% against the greenback - but the kiwi remains supported a bit more from AUD/NZD selling.
There is also plenty to watch out for on the day, Eamonn has a preview here on the US calendar that is to come, and we also have Fed chair Powell testifying before the senate banking committee too.
But the big risk for the aussie will come next Tuesday, where we have the RBA meeting, retail sales data, and current account balance data.
