Via TD analyst note on the Australian dollar
AUD is “vulnerable to a change in the narrative between the United States and China”
- rising tensions – spotlight on upcoming trade talks and broader political dialogue
- a trade has been coupled with uncertainty over the economic outlook and what lies ahead
(I will simply add that the rise in tensions with China being bearish for the AUD is not news, see recent articles for the past few weeks for example).
- TD short AUD / USD from 0.6480, target 0.6175, stop 0.6680
- likes “longer term structural history” for AUD,
- but went up too quickly