FXstreet.com (Barcelona) - After trading in a narrow range between 0.9200 and 0.9230 during the European session on consolidation mode from 14-month high at 0.9230, AUD/USD has decline to trade below 0.9200 level, close to 0.9180. Currently the pair is trading around the 0.9195/0.9205, 0.30% above today's opening price action at 0.9172.
The ecPulse.com analyst team comments about the actual Dollar situation: Today, we see that the dollar is in correction versus major currencies, while there is rising confidence that were led from company reporting profits, supporting the fact that a global economic recovery has started to become visible. However, when investors become confident, they tend to turn to higher yielding currencies, while selling lower yielding currencies that hold back the dollar from rising.
The Aussie is overbought in hourly, 4-hour and daily charts, and, according Jamie Saettele, tecnical analyst at DailyFX, USD decline might be at its latter stages: Continued divergence with momentum suggests that the decline is in its latter stages. Levels to watch going forward are .9200, .9270, and .9325 (these are former support levels from 2008). Coming under .8979 would suggest reversal and shift focus to .8867.