AUD/USD Technicals - Strong Bearishness Seen In Thin Trade

AUD/USD Technicals - Strong Bearishness Seen In Thin Trade

Downtrend in AUD/USD is strong with prices gaping lower this morning, continuing the decline that started last Friday following the failure to break 0.893 resistance. What is even more impressive is that this decline seems to be running itself without any new announcements/economic news releases that could have triggered additional bearish sentiment. Furthermore, risk appetite seems to be building up, not decreasing with Australia's main stock index ASX steadily around 100 points higher than 1 week ago. Some may point to the strengthening USD as the reason for AUD/USD's decline, but looking at EUR/USD and GBP/USD which have rallied recently, this is not a valid explanation. It is clear that AUD/USD is going lower more on AUD weakness.