USD Trading Outlook (11-11-2014)

AUD/USD The pair held a tight 0.8660/84 range in Europe’s morning with the pair spending most of that time near the upper limit. Offers in the 0.8685/00 zone adn near the 200-HMA capped the topside. A rebound for the USD saw the pair slide into NY’s open and sit near 0.8665. NY added pressure immediately as the USD stayed firm and US yields staged a comeback from Friday’s losses. A steady descent ensued with a brief pause at hourly support near 0.8640. The pace of the US yield lift accelerated and another leg lower for AUD/USD took hold. The slide went on to test hourly support in the 0.8605/10 area and sat within that zone late in the day. Oz Q3 house price index and NAB’s Oct business confidence/conditions data are due later. Soft data will likely weigh on AUD and we might see Friday’s low retested.