The Australian dollar suffered badly from the rate decision in the US. The Aussie began sliding towards the decision, and when Bernanke and his colleagues signaled an acknowledgement of the improving situation, the Aussie went down under.
AUD/USD fell as low as 0.9260 before recovering. These are fresh 33 month lows. The last time that Aussie/USD saw these levels was back in September 2010.
The Australian dollar received worrying reports from China over the weekend and was generally vulnerable in the 6 weeks since the rate cut in May,
However, after falling down below the October 2011 bottom of 0.9388, the pair made an impressive rebound in a hammer pattern: it dropped but quickly recovered, leaving a big trail on the weekly charts.
Nevertheless, the strength of the greenback after the statement took its toll on the weakening $A.
Where next for AUD? See the guide for the next big levels on the downside.
The Australian dollar continues moving by global events, and especially by China. See how to trade the AUD/USD with the Chinese HSBC PMI
[do action=”tradingviews” pair=”AUDUSD” interval=”60″/]
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