AUD/USD eases off highs to 0.9780/86

FXstreet.com (Barcelona) - The AUD/USD broke higher Monday, having been capped at the 0.9800 region (0.9797 session high) during European trading in recent minutes.

What followed was a mild easing afflication that erased some gains down to 0.9780/86. On the heels of a +0.24% advance the AUD/USD will encounter the following short-term resistances at 0.9806, then 0.9871, and finally 0.9918. Conversely, the pair is projected to face support at 0.9694, then 0.9647, and eventually 0.9582.

According to the ICN.com Analyst Team, “The AUD/USD plunged nonstop, breaking 161.8% Fibonacci at 0.9825. Settling below this level could extend the downtrend toward 200% Fibonacci and perhaps 224% at 0.9645 and 0.9535 respectively. Ultimately, prolonged stability below 0.9825 supports negativity.”

Investors will be keyed in to the overnight RBA minutes at 00:30 GMT in Australia. The embattled AUD could find itself in a fresh slump, however lingering concerns over the tapering off of US monetary easing may also have staunch ramifications for the pair.