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CROSS ASSET: Risk-Selling Weighs on AUD/USD Into Friday Close

CROSS ASSET

A modest fade in risk playing out through the London close, evident in the backtrack in the e-mini S&P back toward yesterday's late lows of 5598.50. AUD/USD subsequently comes under pressure, putting the pair to new daily lows and through soft support at 0.6764 (the mid-week low).

  • Cross-selling among most majors is working in favour of the greenback, and aiding USD/JPY to finish the week at the highs - and secure a close above the 100-week moving average of 144.62.
  • A positive weekly close this week is only the second since late June, but may signal a consolidative phase, rather than any firm bounce while prices continue to trade below the Aug 15 high and the 20-day EMA - key upside levels.

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