The Australian Dollar declined by more than 1% compared to the USD yesterday, and it’s already down by another half percent today in early trading. We point out the possibility of a sharp correction in our latest report, and the pair still looks set to test 0.74-0.745 zone. The 0.735 level is also important for AUD/USD coinciding with the rising short-term trend-line. If commodities remain week it is possible that the Aussie will be headed back below the 200-day MA.
Our assessment: The retreat in both oil and gold hurt the Australian Dollar on Wednesday, and the currency might continue the correction as we head into the long Easter weekend.
