The overwhelming strength of the US dollar has hit the Australian one. Data released from China and Australia didn’t really help.
AUD/USD is currently trading at new lows, which are the lowest levels since 2009. The fresh low is 0.7602.
More:Â AUDUSD: H&S + Elliott Wave Count point lower;
The pair already fell to 0.7628, just 2 pips above the 0.7626 low seen in early February. Update: The pair found support only just above the round 0.76 level.
Below this line, we have the very round level of 0.75 that was eyed by RBA governor Glenn Stevens in the past.
If we look even lower, we see a clear line at 0.7450 – there is a huge gap on the chart dating back to 2008, in a weekend during the big crash.
More:Â RBA to move on rates in April
Here is a weekly chart of AUD/USD that shows the full range of developments since 2008.
China released inflation data: CPI came out stronger than expected at 1.4% y/y while PPI dropped 4.8%, worse than predicted. Australia’s NAB Business Confidence number is now a flat 0, down from 3 points beforehand.
Yet the story is more of the USD: the greenback is storming across the board with EUR/USD falling below 1.08. Also the Canadian dollar is retreating against the dollar.
