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AUD/USD bounces from 3-week low

FXstreet.com (Córdoba) - The AUD/USD is falling for third day on a row this Wednesday, weighed mainly by the cautious mood that prevails in financial markets.

However, AUD/USD has managed to stage a bounce from a 3-week low of 0.8890 and to trim some losses at the beginning of the New York session, following worse-than-expected US housing data. At time of writing, AUD/USD is trading at the 0.8940 zone, still 0.4% below its opening price.

AUD/USD maintains the bearish tone

From a technical perspective, AUD/USD maintains a strong bearish tone according to technical readings both in 1 and 4 hours chart, says Valeria Bednarik, chief analyst at FXstreet.com. “The pair posted a 2-year low this August at 0.8846, which comes as immediate target and support: a break below it should open doors for a longer term slide with 0.8600 then at sight”, the analyst said.

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