Originally updated: 07:00
Trading Bias: SHORT
Currency pair: AUD/USD
Current Sentiment: Bearish
In today’s trading session we will be focussing on selling opportunities on the AUD/USD.
Fundamentals:
The PBoC have cut rates this raised concerned over the outlook for Chinese growth based on the timing of their cut, this caused DXY to trade at highest level since Sep’03, going into the session we can therefore expect weakness on the AUD. The RBA have a rate decision tomorrow with around 60% of the consensus being that they will cut rates, trade carefully if the RBA don’t cut rates (as argued by RBA watcher Terry McCrann) the AUD will rally solely based on relief.
Technicals:
We expect this pair to sell off during today’s session.
There is strong resistance at 0.7830 which could provide trading opportunities should the price pull back. Look for the price to bounce off this level if it retraces back to it.
Remember to be aware of intra-day news as this can very often change the sentiment which makes our trade weaker. Look for any news that could be positive for this pair, which would change the sentiment to bullish.
Other Market Moving News:
On today’s calendar we have the release of French, German, Eurozone, UK manufacturing PMIs and Eurozone CPI and US ISM Manufacturing PMI later in the session.
At no time should anyone view the information presented anywhere on this website as advice, recommendation or proven. Everything reflected is merely opinion and may not be accurate. The purpose of the site is to express the opinions and views of Jarratt Davis. There is no intention to offer specific help, advice or suggestions to anyone reading any of the content posted here.
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