The Australian dollar slipped to a three-week low this morning as the RBA looks set to enhance monetary easing. Current consensus is that the additional stimulus is likely to be announced during the RBA’s Nov. 3 policy meeting. Specifically, the central bank is expected to cut the interest rate to a new record low of 0.1% from the current 0.25% and possibly boost bond purchases in the five to 10-year window.

Chart

As a major risk currency, the AUD tends to follow global stock markets trends and is generally seen as a leading indicator of risk appetite. A generally weak USD has helped the AUD higher recently but we see a major trend reversal today.

With growing uncertainty in the Covid-19 pandemic, the strength in the USD might return and we hence sold this pair at 0.7034 with SL at 0.7135 and TP at 0.6835.

Risk Warning: CFDs are complex instruments and come with a high risk of losing your invested capital due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

The content of this material and/or any information provided by BDSwiss Group should not be in any way construed, either explicitly or implicitly, directly or indirectly, as investment advice, recommendation or suggestion of an investment strategy with respect to a financial instrument and it is not intended to provide a sufficient basis on which to make investment decisions, in any manner whatsoever. Any information, views or opinions presented in this material have been obtained or derived from sources believed by the BDSwiss Research Department to be reliable, but BDSwiss makes no representation as to their accuracy or completeness. BDSwiss Group accepts no liability for losses arising from the use of this data and information. The data and information contained herein are for background purposes only and do not purport to be full or complete.

Feed news Join Telegram

Recommended Content


Recommended Content

Editors’ Picks

EUR/USD stays below 1.0850 after US GDP

EUR/USD stays below 1.0850 after US GDP

EUR/USD continues to trade in negative territory below 1.0850 in the European session on Tuesday. The data from the Eurozone showed that the GDP grew at an annual rate of 1.9% in Q4, compared to market expectation of 1.8%, but failed to boost the Euro.

EUR/USD News

GBP/USD remains pressured toward 1.2300 amid risk aversion

GBP/USD remains pressured toward 1.2300 amid risk aversion

GBP/USD is losing further ground toward 1.2300 in the European trading hours. The renewed uptick in the US Dollar amid risk aversion is weighing down on the pair. Meanwhile, the IMF said that the UK economy is the only G7 nation to shrink in 2023. 

GBP/USD News

Gold drops towards $1,900 on firmer US Dollar, mixed sentiment

Gold drops towards $1,900 on firmer US Dollar, mixed sentiment

Gold price holds lower grounds as sellers attack the critical $1,900 mark during Tuesday’s European session. The precious metal reverses the mid-Asian session’s corrective bounce, as the US Dollar recovery picks up pace ahead of US mid-tier data. 

Gold News

Elon Musk mulls over Bitcoin and crypto payments for Twitter in push for regulatory license

Elon Musk mulls over Bitcoin and crypto payments for Twitter in push for regulatory license

Twitter recently started applying for payment licenses in the US. The social media giant’s Twitter Payments division headed by Esther Crawford is working on bringing crypto and fiat payments to the app. 

Read more

Break it or make it week: Fed, earnings, OPEC

Break it or make it week: Fed, earnings, OPEC

Investors have a full plate this week that includes the US Fed's latest policy decision and a slew of big-name corporate earnings. Wall Street widely expects the Fed to deliver a 25bps interest rate hike.

Read more

Majors

Cryptocurrencies

Signatures