Chinese economic prospects keep bothering investors and affecting the Australian Dollar (the Aussie is a commodity currency, China is a major importer of Australia’s natural recourses).
China’s economic slowdown and cheaper commodities made HSBC experts downgrade their forecasts for AUDUSD down to 0.95. However, they say the currency pair may still hit 1.10 in the near future.
At the same time, RBS strategists assume that a further rally of AUDUSD will become probable only if the global economy start showing signs of recovery.
According to , the Aussie keeps weakening against the US Dollar. The experts report that AUDUSD is forming a downswing represented by wave А(С)/С of level H8.
A further downswing will probably meet support around 1.0334/31, 1.0309, 1.0284, 1.0269. The current bearish move will be completed as soon as the price overcomes the top of the MF sloping channel and consolidates above 1.0401 (as shown below).
