Forex: AUD/USD extends decline below 1.0300

The Aussie finds no respite today, as it continues to lose ground versus the dollar, weighed by the steep fall seen in gold and its neighbor the kiwi, which weakened after RBNZ Governor Wheeler said the bank is ready to intervene in the FX market if necessary.

Against this backdrop, the AUD/USD has lost over 85 pips throughout the day and broke below the 1.0300 mark to hit a 2-day low of 1.0281 in recent dealings. At time of writing, AUD/USD is trading around 1.0290, where it records a 0.6% decline on the day.

From a technical view, "the pair failed to break the 1.0370 resistance level, and the bearish trend come back in full force, leaving the hourly chart with a clear bearish momentum, that supports further slides ahead", says Valeria Bednarik, chief analyst at FXstreet.com. "In the 4 hours chart technical readings also turned south, with latest candle opening below 20 SMA: a test of 1.0260 seems likely over the next few hours, while a break below should trigger a continuation rally towards the 1.0220 lows".