The AUD could not hold onto the Technical support at 0.8585 (Sept2009 and Feb 2010 LOW), If AUD/USD fails to climb back above this critical in the next 1-2 days, then the risk of its coming down towards the 0.7800 is imminent.
The decline is also aggravated by traders dumping the Aud due to its RBA hinting to tighten her Banking policy, with the additional unwinding on the CARRY TRADES especially on the Commodity currency,,and Actually Aussie falls victims to its own success of higher yields.
Traders should watch its development closely and looking for New opportunity to Sell Down the Aussies further.
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