The pair traded at $0.8723 heading into the NY close after it had marked a $0.8682 to $0.8746 range through the day. Aussie-dollar held between $0.8712 and $0.8721 in early dealings before falling to an early low of $0.8692 as the US dollar jumped to fresh 7-year high again vs the yen. Aussie-dollar dropped further to $0.8672 and followed up with a slight recovery to $0.8690 as the US dollar’s gains showed signs of pausing. But the US dollar’s gains resumed just ahead of the BOJ decision and capped the aussie before it could attempt any sort of meaningful recovery. Aussie-dollar broke through support at the overnight low of $0.8682 and then below the 50% retracement of Nov’s $0.8540 to $0.8796 range at $0.8668 for a session low of $0.8658. Aussie-dollar remained under pressure through the rest of the session to last trade at $0.8664. Stops are seen above $0.8750 and above $0.8800 today. A close below $0.8647 would see stops taken out below that and confirm focus on tests of the $0.8540 2014 low.
