Disliked{quote} AU looks more bullish than the other shorts... can def go a bit more.. but certainly will/should sell off from these levelsIgnored
AU currency tied to China...
and i can tell you China's growth rate forecasts are headed towards the mid-6 levels... around 6.5%...
knowing china growth is on the trend of further slowdown to their growth, theres less and less demand for raw metals which australia exports a lot of it to China....
Global Growth is slowing down.... and commodities are in a downtrend.
i wouldn't bet on AUD to rise in value against the USD.
Sorry if i sound like im against you on your trade ideas but fundamentals dont support longing AUDUSD with good reasons.
1. China Slowdown.
2. Further China Rate cuts in 2015 expected.
3. Commodity prices continue to fall (AU heavily correlated)
4. RBA may have another round of rate cut in Q2-Q3 2015...
5. Global growth forecast slowdown, with emerging market subdued growth in 2015 (signalling a lack of demand for raw metals)
We live in a finite world with infinite possibilities.