AUD/USD news - page 28
You are missing trading opportunities:
- Free trading apps
- Over 8,000 signals for copying
- Economic news for exploring financial markets
Registration
Log in
You agree to website policy and terms of use
If you do not have an account, please register
AUD/USD Technical Outlook: Sell Now, Pair Heavily Overbought
The aussie was testing the $0.72 resistance, which along with the overbought oscillators might favor selling the latest rally.
Forex - AUD/USD Technical Outlook: Sell Now, Pair Heavily Overbought
The aussie has been advancing over the previous days, bolstered mainly by the US dollar weakness. The pair broke some important levels on the way higher and was testing the $0.72 resistance during the London session on Wednesday. Previous highs are located here, so bulls might expect some stronger defense.
Moreover, the four-hour chart looks heavily overbought as the pair rose two big figures without any correction. The RSI is above 70 and at extreme levels, while the stochastics oscillator is slightly below 100, pointing to an overbought market. The MACD has been following since the breakout of $0.70 and is at extreme levels as well. Therefore, the pair might be heading for some correction in the coming hours.
The pair is likely heading lower in the near future, targeting the broken resistance of $0.7150, which will now act as a support. The aussie needs to clear the overbought conditions and then it might eventually go higher. If the $0.7210 resistance falls, further upside toward $0.7270 is expected, where September and post Federal Open Market Committee highs are seen.
read more
Heads up for Australian dollar traders: RBA to publish AUD modelling paper today
The Reserve Bank of Australia will publish a research discussion paper today: Modelling the Australian Dollar
AUD/USD: Pair Crosses $0.73 on Dovish FOMC Minutes
The so-called aussie was traded with gains during the last session of the week, extending positive momentum for the sixth straight session, on the back of the 'cautious sound' of the latest Federal Open Market Committee (FOMC) minutes from the meeting that took place in September 16 - 17.
The FOMC minutes showed more doubts over the Chinese situation than domestic affairs, while keeping the odds for an early rate hike rather subdued, following unexpected non-farm payrolls in September.
"The Fed minutes released overnight seemed to cement investor expectations for the Fed to delay their first rate rise until 2016. As the probability of a December Fed rate hike fell to 38.8%, the USD weakened noticeably seeing renewed vigour breathed in currencies and commodities," Angus Nicholson wrote in a research note on Friday.
"The minutes didn't give the market any clarity on when liftoff would occur and markets were hoping for more guidance," Nasdaq director Myles Clouston mentioned
On Friday, the AUD/USD currency pair edged 0.65% higher to $0.7306, hitting the highest level since August 24. The pair is set to close the current week with more than 3.5% gains.
read more
Bearish on this pair...
Watch out for Australian dollar disappointment - Credit Agricole
Is AUD still a buy at current levels?
From Credit Agricole:
"The AUD has been in demand for most of the week, mainly due to stabilising RBA monetary policy expectations and improving global risk sentiment. Even though the RBA left monetary policy unchanged, it still left open all options regarding additional policy action later on. As such, incoming data should have a heightened impact on investors' central bank rate expectations.
In that respect next week's employment data will be closely watched. In an environment of muted external demand conditions it appears unlikely that the corporate sector's hiring activity increased in September. As such it is likely that next week's data will disappoint.
Elsewhere, caution is warranted when it comes to global risk sentiment. While Fed rate expectations are unlikely to fall further from the current levels, next week's Chinese trade and inflation data may provide further fuel for risk aversion.
We remain in favour of selling current AUD rallies."
Aussie Hits 7-Wk High as Dovish FOMC Minutes Weighs on Greenback
The Australian dollar was on an upward trajectory over the past week, taking advantage of the US dollar's weakness in a week that saw central banks dominate market focus.
The Australian currency was trading at a seven-week high at the end of the week following the dovish Federal Open Market Committee (FOMC) minutes from the meeting that took place in September 16 - 17.
"The Fed minutes released overnight seemed to cement investor expectations for the Fed to delay their first rate rise until 2016. As the probability of a December Fed rate hike fell to 38.8%, the USD weakened noticeably seeing renewed vigor breathed in currencies and commodities," Angus Nicholson wrote in a research note on Friday.
As a result, the Australian dollar hit the highest level since August 21.
The gains were capped somewhat by news that the housing market in the country continued to slow in August, as housing finance approvals fell short of market expectations of 4.7% growth, coming in at 2.9%.
On Tuesday, the Reserve Bank of Australia (RBA) left its overnight cash rate unchanged for the fifth month in a row, a policy announcement that immediately boosted the Australian currency.
read more
AUD/USD Oct. 12-16
AUD/USD surged last week, gaining close to 300 points. The pair closed at 0.7329. This week’s highlights are NAB Business Confidence and Employment Change. Here is an outlook on the major market-movers and an updated technical analysis for AUD/USD.
The Australian dollar enjoyed a banner week, taking advantage of the dovish Federal Reserve minutes. Australian releases were uneventful. In the US, Services PMI and Trade Balance were weaker than expected. Jobless claims beat expectations, but this wasn’t enough to blunt spectacular gains by the Aussie.
read more
AUD/USD: Aussie Retreats From 8-Week Highs
Although the aussie declined on Monday, it still remains at its highest level since August 21. Trading today is expected to be tight due to a lack of Australian data releases and a public holiday in the US.
The AUD registered gains last week, mostly due to the USD having a torrid week across the board as markets digested softening US data. However, during the weekend both Federal Open Market Committee (FOMC) Vice-Chair William Dudley and Federal Reserve (Fed) Board of Governors Vice-Chair Stanley Fischer reiterated that their forecasts still favor a 2015 normalization, adding more strength to the US dollar.
The aussie declined 0.20% on Monday to $0.7314, a little down from it's near two-month high seen on Friday.
It should be a relatively slowly start to the week, with Fed speakers in primary focus. Markets will digest comments by Dennis Lockhart and Charles Evans later in the US session.
Atlanta Fed President Lockhart reaffirmed on Friday his view that the US economy remained on track and that he saw the first rate hike occurring in either October or December.
"The economy remains on a satisfactory track and ... I see a (rate) liftoff decision later this year at the October or December FOMC meetings as likely appropriate," Lockhart said.
AUD/NZD: Cross Trades Higher, Remains in Bullish Trend
The cross was trading higher on the day and was seen around 1.0945 during midday trading on Monday, but the trading range was very tight.
As commodities, mainly industrial ones, were rising in the previous days, commodity-linked currencies also jumped higher, which was supported further by the broader US dollar correction.
The kiwi yields more than the aussie and therefore it should be preferred in a risk-on environment, but the latest vertical rise in stocks looks overstretched and some drop is likely, which might help the aussie.
Volatility will likely be lower on Monday, with no macro news on the agenda. Investors will only eye speeches from a number of Federal Reserve (Fed) governors, which might spur some trading activity on the main US dollar pairs.
"Though US markets are closed today we could still get some extra color in the aftermath of last week’s Fed minutes and how last month’s payrolls numbers have impacted the views of a number of FOMC policymakers with speeches from the Atlanta Fed President Dennis Lockhart, Chicago Fed President Charles Evans and permanent member Lael Brainard," Michael Hewson, chief market analyst at CMC Markets UK, wrote on Monday.
read more
I need this pair to go down!