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Australian dollar on higher levels against US peer, experts saw further downside

AUD1On Monday Australian dollar traded on higher levels versus its US counterpart, but however, projections appeared to foresee a further slide for the Aussie.

AUD/USD pair hit a session high at 0.9253 during Mondays Asian trade, after which consolidated at 0.9210. Support was likely at June 20th low and a 33-month low, 0.9162, while resistance was to be encountered at June 20th high, 0.9311.

Pressure was put on the Aussie after US dollar expanded on FED Chairman Bernanke comments last Wednesday. He said that the central bank intended to slow down asset purchases by the end of this year and completely wind them down in the mid-2014, if economic conditions developed in accordance with FEDs projections.

Another strike on the Australian currency was delivered on Thursday when reports showed that China’s HSBC preliminary manufacturing purchasing managers’ index fell down to a 9-month low in June, 48.3 from 49.2 in May. New orders indicator decreased, which was an indication of a lost momentum in Chinese manufacturing sector. Fears appeared that situation may worsen even more. This and diminished commodity demand may cause more downside for the Australian dollar in the future, according to some experts.

AUD/NZD pair erased 0.13%, falling down to 1.1890.

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