7 Aug 2015
AUD/USD spiking on positive RBA statement
FXStreet (Guatemala) - AUD/USD is currently trading at 0.7368 with a high of 0.7372 and a low of 0.7339 at time of writing.
AUD/USD has found a little support on an upgrade of inflation expectations to 2.5% in the next two years and an overall positive RBA statement.
Downward revisions in the statement on their growth forecast for 2015/16 while lowering the unemployment forecast. The statement also said that the Aussie will decline further once the Fed raises rates 2.3% 3.5%. At the same time, Home loans for June came in at 4.4% vs 5% expected
AUD/USD has otherwise been on the back foot leading into the end of the week's non farm Payrolls with a number of data releases from the Australian economy that in some areas, have been positive but markets have concentrated on the not so positive. For example, the jobs data headline and participation numbers are very healthy but the Aussie strength was sold into.
AUD/USD jumped over 40 pips on a knee jerk on the back of a huge employment change number in comparison to expectations for July at +38.5 vs just +10k expected. However, there was an increase in the unemployment rate as well that came in at 6.3%. However, the participation rate read as 65.1 vs 64.8% and healthiest in about five years. But, it was the unemployment rate flirting with levels last seen in 2002 and subsequent risk for AUD where sellers emerged centred on the potential for a greater labor market slack, its impact on wages and implications for the RBA.
Meanwhile, we now await the US Nonfarm payroll's data tomorrow.
Register to the live coverage and trade the NonFarm Payrolls with Bednarik, Pinkert and Elam. We are Forex!
AUD/USD technically comes bearish
AUD/USD remains offered below the downtrend channel line at 0.7403. Above here, a daily close above the 23.6% Fibonacci retracement at 0.7454 is needed to trigger a recovery towards the 0.7565 55 day moving average. To the downside, Karen Jones, chief analyst at Commerzbank explained that major support can still be seen below the 0.7235 July low between the base of the two year channel at 0.7188, the long term Fibonacci retracement at 0.7185 and the 14 year support line at 0.7144.
Meanwhile, Valeria Bednarik, chief analyst at FXStreet explained In the 4 hours chart, the price is hovering around a mild bullish 20 SMA, the Momentum indicator heads sharply lower below the 100 level and the RSI lacks strength around 52, giving little room for a stronger recovery during the upcoming session.
AUD/USD has found a little support on an upgrade of inflation expectations to 2.5% in the next two years and an overall positive RBA statement.
Downward revisions in the statement on their growth forecast for 2015/16 while lowering the unemployment forecast. The statement also said that the Aussie will decline further once the Fed raises rates 2.3% 3.5%. At the same time, Home loans for June came in at 4.4% vs 5% expected
AUD/USD has otherwise been on the back foot leading into the end of the week's non farm Payrolls with a number of data releases from the Australian economy that in some areas, have been positive but markets have concentrated on the not so positive. For example, the jobs data headline and participation numbers are very healthy but the Aussie strength was sold into.
AUD/USD jumped over 40 pips on a knee jerk on the back of a huge employment change number in comparison to expectations for July at +38.5 vs just +10k expected. However, there was an increase in the unemployment rate as well that came in at 6.3%. However, the participation rate read as 65.1 vs 64.8% and healthiest in about five years. But, it was the unemployment rate flirting with levels last seen in 2002 and subsequent risk for AUD where sellers emerged centred on the potential for a greater labor market slack, its impact on wages and implications for the RBA.
Meanwhile, we now await the US Nonfarm payroll's data tomorrow.
Register to the live coverage and trade the NonFarm Payrolls with Bednarik, Pinkert and Elam. We are Forex!
AUD/USD technically comes bearish
AUD/USD remains offered below the downtrend channel line at 0.7403. Above here, a daily close above the 23.6% Fibonacci retracement at 0.7454 is needed to trigger a recovery towards the 0.7565 55 day moving average. To the downside, Karen Jones, chief analyst at Commerzbank explained that major support can still be seen below the 0.7235 July low between the base of the two year channel at 0.7188, the long term Fibonacci retracement at 0.7185 and the 14 year support line at 0.7144.
Meanwhile, Valeria Bednarik, chief analyst at FXStreet explained In the 4 hours chart, the price is hovering around a mild bullish 20 SMA, the Momentum indicator heads sharply lower below the 100 level and the RSI lacks strength around 52, giving little room for a stronger recovery during the upcoming session.