The volatility in markets rages on with war and inflation uncertainty causing problems everywhere. The Australian Dollar (AUD) has reversed last week’s gains from the weekly close at 0.5755 (1.7380) slumping to 0.5635 (1.7750) into Tuesday as soft risk sentiment drags down risk assets. US bond prices clicked higher as serious worry around the recent US Fed hike has market analysts concerned of potential negative impact to US and global economies. The recent poor US Production read has added to the bearish mood. Key data this week is prelim UK GDP q/q amid a thin docket. The 7-week low at 0.5600 (1.7880) could be challenged this week.
Current Level: 0.5610 (1.7825)
Resistance: 0.5850 (1.7880)
Support: 0.5590 (1.7100)
Last Weeks Range: 0.5600-0.5820 (1.7178-1.7854)