At the Asian session, RBA Governor Stevens said “Ahead of next week's meeting of the Reserve Bank Board; I have no comments to offer today on monetary policy. The problem must be acute in Europe, where sovereign yields in some countries are negative for significant durations. But it is also potentially a non-trivial issue in our own country. In a conference about wealth, this might be a worthy topic of discussion." The Conference Board Leading Economic Index for Australia increased 0.5 against 0.4% in the previous month.
After the Governor's speech, AUD skyrocketed against EUR, GBP, and USD at the Asia session. The cross has been consolidating at the lower levels for 8 consecutive days. On April 08, 2015, we recommended selling for 1.3820. The cross made a low at 1.3711. Bulls' last hope is at 1.3675 50Msma and 1.3660 200Wsma. In case the price closes below 1.3660, bears can challenge 1.3325 in the near term.
Intraday view: The cross is trading at 1.3835, made a low at 1.3820. The support zone is seen around 1.3820, 1.3800, and 1.3780. Below these support levels, bears can challenge 1.3715, 1.3700, and 1.3675/1.3660. We recommend selling below 1.3820 with small targets at 1.3800 and 1.3780 and aggressive selling below 1.3780 with targets at 1.3750, 1.3715, and 1.3675. Intraday resistance is found at 1.3850 61.8 FE and 1.3865. Use every rise to sell. In case the price holds the support zone, use every rise to sell near 1.3865 with small sl 1.3890.
Trade: Selling below 1.3820
