AUD/USD opened in Sydney at $0.7885, after offshore markets witnessed a $0.7869 to $0.7901 range. The main focus for the morning was Australian Q4 capex data due at 0030 GMT today. Ahead of that, aussie-dollar was confined to a tight $0.7880/90 range and it held at $0.7884 as the data were released. The outcome was disappointing and the aussie was quickly sold down to $0.7855 immediately after. There, demand from $0.7850 held the downside for about half an hour before further selling drove it through to $0.7844. The rate ran into minor support off $0.7840, highlighted as the 38.2% fibo retracement level of its $0.7740 to $0.7901 rise. That also eventually failed the aussie held a heavy tone and it slipped to $0.7837. Follow-through momentum was lacking though and aussie-dollar saw a minor recovery to last trade at $0.7851. Next support lies at $0.7821, marking the 50% of the aussie’s $0.7740 to $0.7901 rise. Up top, initial resistance lies at $0.7909 (Jan 29 High) while stop loss orders from system accounts are cited above $0.7910, and above there, $0.7961 is the 50% retracement of the $0.8295 to $0.7627 fall.
