AUD/USD is perilously close to the October low (update: it broke)

Technical Analysis

Author: Adam Button | audusd

Watch out for stops in AUD/USD

The Australian dollar is in danger of falling to a fresh cycle low. A drop below 0.7021 would take out the October low and mark the worst level since February 2016.

The low so far is 0.7024, so we're dangerously close to a breakdown and it will be coming at a tough time of year for liquidity. The 46 point drop in the S&P 500 isn't helping and neither is talk of USD-positive rebalancing flows.

Update: It's broken down to 0.7019. There are no stops yet but watch closely.

By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose