By eFXdata — May 24 - 11:38 AM
Danske Research lowers the stop on its short AUD/USD position (spot ref: 0.6775) to 0.66 from 0.6930. Danske has a soft target on this trade at 0.6528.
On 10 May, we opened a tactical recommendation to short AUD/USD spot based on a solid US macro, hawkish Fed and weakening Australian terms-of-trade. All the arguments have played out and AUD/USD is now trading near our soft target of 0.6528," Dankse notes.
"We stick to the position for now, as the rising debt ceiling uncertainty could provide a further near-term lift to broad USD. We lower the stop-loss level to 0.6600 (from 0.6936) to protect profit," Danske adds.
Danske Research/Market Commentary