Opened at $1.0638 and came under some early pressure as Asian stocks and the euro started to sag. The pair slipped to $1.0615 before recovering to $1.0638 but met another round of downside pressure as EUR/AUD pushed higher to A$1.2486. The move fueled some better momentum and traders targeted the much touted $1.0600 barrier, eventually flushing it to a low of $1.0597. Rumored massive stops on a break of the level failed to materialize and the pair bounced sharply on short covering to $1.0653 pulling the euro cross back down to A$1.2450. Fresh bids are now in place ahead of $1.0600 with stops down through $1.0580. Offers sit up at $1.0655/60 and $1.0680/85. AUD/JPY fell back from Y85.42 to Y84.98 as the $1.0600 barrier fell but quickly recovered to Y85.38. AUD/NZD headed higher from NZ$1.2816 to NZ$1.2848 before settling back around NZ$1.2835. PM Gillard announced that there would be a leadership ballot this coming Monday as ex PM, and bitter rival, Kevin Rudd mounts a challenge for a second term.
EasyForexNews Research Team