The pair closed in NY on a heavy note at $0.7888 after having traded a $0.7882-0.8000 range on the day and setting the low for the day in the last hour of trading. The aussie was still holding a heavy tone after the FOMC meeting and received an additional push lower as the kiwi was sold off following a more dovish than expected RBNZ Rate Statement. It started in Asia with a slight recovery through $0.7900 and then spent the early few hours chopping around between $0.7884 and $0.7907. The release of Australia’s trade price index saw little reaction from the market and aussie-dollar continued to shuffle on either side of $0.7900. The pair dropped back to a session low of $0.7882 after a move through $0.7895 saw minor stops getting hit but it again recovered. Dealers said they spotted option-related bids from below $0.7880 giving the aussie a lift but extension of that recovery continues to be a struggle. Aussie-dollar was last at $0.7888. Local importer sell orders are noted between $0.7935 to $0.7945, stop loss orders are said to be building below $0.7850. Topside resistance remains at $0.8023, marking the 38.2% fibo retracement of the $0.8295 to $0.7855 fall and support is noted at January 26th low of $0.7855.
