The Australian Dollar reversed its gains slipping below 0.6400 cents in early Sydney. The souring in risk sentiment weighed on all the commodity and Emerging Market currencies. AUD/USD finished in late New York at 0.6400 from 0.6435 yesterday. In early Sydney, the Aussie Battler dipped to 0.63784 before settling around 0.6385.
Yesterday saw Australia’s Retail Sales beat forecasts, climbing to 8.5% from 8.2%. The rise in sales were due to increased spending in supermarket sales as Australian households stockpiled household goods during the lockdown. The bleak European factory and services output and US ADP Payrolls turned the AUD/USD pair back. Overnight high traded was 0.64528.
AUD/USD has immediate resistance at 0.6430 followed by 0.6460 today. Immediate support can be found at 0.6375 and 0.6345. Look for a likely trade today between 0.6340 to 0.6440 first up. Prefer to sell any rallies close to the 0.6440 area.