Aussie got back up to a $0.8970 in relatively subdued overnight dealings, and started this morning holding near that at $0.8964, initially marking a narrow $0.8957/68 range. The market took on a mild risk-on posture early this morning and was held at $0.8965 ahead of the RBA’s monthly private sector credit data release. It slipped a few notches after the data to $0.8955 and then went down to $0.8943 lows before recovering ahead of the Chinese yuan fix. Aussie-dollar got up to $0.8992 after the yuan fix but quicklyreversed direction again as the Chinese currency began to weaken. Aussie-dollar slipped back to mid-ranges in the late morning, and was last at $0.8949 with sellers at $0.9000 keeping a lid on the pair while stops are seen on a move through $0.9010. On the downside, the overnight US session low of $0.8921 still serves as initial support. Below that, a close under Thursday’s $0.8907 low would see bears take control, and a move below $0.8870 to then see the pair targeting a retest of the 2014 low at $0.8662, traded on Jan 24.
