AUDUSD, Daily
The Aussie dollar has underperformed following the release of Australian trade numbers earlier today, where a tumble in net exports prompted economists to trim Q3 GDP forecasts by up to 0.2 percentage points. The growth data is due tomorrow and expectations are for 0.2% q/q growth, though some analysts are flagging of negative number, which would mark the first GDP contraction in five-and-a-half years. The RBA left policy unchanged at its December review today, as was widely expected, and the statement made only cosmetic tweaks to leave the main takeaway as being that “inflation is expected to remain low for some time.” AUDUSD ebbed to a low of 0.7441, about 30 pips down on Sydney opening levels.
Technically, the Moving Averages are mixed and unaligned with weakness suggested as the pair trades below the 20, 50 and 200 Simple MA’s, the Parabolic SAR and MACD remain positive, whilst the short term RSI is neutral. Resistance remains at 0.7584 (the 38.2 Fibonacci retracement level from the November move down), the psychological 0.7500 and the 200 DMA at 0.7530. The consolidation is likely to persist and a SHORT entry was taken at 0.7450 with Target 1 0.7400 and Target 2 0.7300.
Disclaimer: Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of purchase or sale of any financial instrument.
Recommended Content
Editors’ Picks
AUD/USD favours extra retracements in the short term
AUD/USD kept the negative stance well in place and briefly broke below the key 0.6400 support to clinch a new low for the year on the back of the strong dollar and mixed results from the Chinese docket.
EUR/USD now shifts its attention to 1.0500
The ongoing upward momentum of the Greenback prompted EUR/USD to lose more ground, hitting new lows for 2024 around 1.0600, driven by the significant divergence in monetary policy between the Fed and the ECB.
Gold aiming to re-conquer the $2,400 level
Gold stages a correction on Tuesday and fluctuates in negative territory near $2,370 following Monday's upsurge. The benchmark 10-year US Treasury bond yield continues to push higher above 4.6% and makes it difficult for XAU/USD to gain traction.
Bitcoin price defends $60K as whales hold onto their BTC despite market dip
Bitcoin (BTC) price still has traders and investors at the edge of their seats as it slides further away from its all-time high (ATH) of $73,777. Some call it a shakeout meant to dispel the weak hands, while others see it as a buying opportunity.
Friday's Silver selloff may have actually been great news for silver bulls!
Silver endured a significant selloff last Friday. Was this another step forward in the bull market? This may seem counterintuitive, but GoldMoney founder James Turk thinks it was a positive sign for silver bulls.