FxWirePro: Aussie slumps to near 11-year low as coronavirus spreads globally
The Australian dollar plunged to a near 11-year trough as a spike in coronavirus cases in several countries outside China heightened worries about a hit to global economic growth. Italy, South Korea and Iran all posted s…
The Australian dollar plunged to a near 11-year trough as a spike in coronavirus cases in several countries outside China heightened worries about a hit to global economic growth.
Italy, South Korea and Iran all posted sharp rises in infections over the weekend. South Korea now has more than 600 cases, Italy more than 150 and Iran 43 cases.
The Aussie was trading 0.5 percent down at 0.6593, having hit a low of 0.6584 earlier, its lowest since March 2009.
Technical indicators are bearish: RSI weak at 26, Stochs are at oversold levels and MACD supports downside.
Immediate resistance is located at 0.6624 (23.6% retracement of 0.6750 and 0.6584), a break above could take it near 0.6648 (38.2% retracement).
On the downside, support is seen at 0.6565, a break below could drag it till 0.6527.
