AUD/USD struggles for stability: Chances are slim

Andrey Goilov RoboForex

The AUD/USD pair is attempting a recovery toward 0.6681, though the prospects seem uncertain as the pair remains near a six-week low. The strengthening of the US dollar and the rise in US Treasury yields, driven by expectations of a confident victory for Donald Trump in the upcoming US presidential election, are weighing heavily on the Australian dollar.

Despite ongoing expectations for interest rate cuts by the US Federal Reserve in November and December, signs of stability in the US economy further bolster the US dollar. However, the market is tempering its expectations for further monetary easing next year.

On the domestic front, Australia's recent labour market data was positive. September figures showed a job increase of 64.1k, significantly above the forecasted 25.0k. The unemployment rate held steady at 4.1%. Investors are now looking forward to upcoming PMI data, which could provide further insights into the health of Australia's economy.

Despite these positive domestic indicators, China's influence remains a critical factor for the Australian dollar, given its role as Australia's primary trading partner. The market has deemed recent stimulus measures in China insufficient, adding to the challenges for the AUD.

Technical analysis of AUD/USD

The AUD/USD is downward towards the target level of 0.6636. Upon reaching this target, the market may form a new consolidation range at these lows. If an upward breakout occurs, a correction towards 0.6790 might be considered. The MACD indicator supports this scenario, with its signal line below zero and poised for potential growth, suggesting a possible shift in momentum.

On the hourly chart, AUD/USD has completed a downward wave to 0.6650, followed by a correction to 0.6690. Another downward movement towards 0.6636 is anticipated today. A subsequent growth wave towards 0.6722 may develop if this level is reached. The Stochastic oscillator backs this outlook, with its signal line currently above 80 but expected to descend sharply towards 20, indicating the potential for further downward movement before any recovery.

Author

Andrey Goilov

RoboForex

Higher economic education. Andrey Goilov has been working on the Forex market since 2005. A financial analyst and successful trader. Preference in trading is highly volatile instruments.

AUD/USD holds above 0.70 as RBA hike becomes a done deal

The Aussie Dollar dives 0.10% versus the US Dollar as market sentiment deteriorates amid fading US-Iran peace hopes, pushing US bond yields higher while US equity markets fall. Also, price action remained subdued, ahead of the Reserve Bank of Australia monetary policy decision. The AUD/USD trades at 0.7016.

USD/JPY climbs back toward 158.00 after BoJ minutes amid firm USD

USD/JPY finds dip-buyers and reverses part of Friday's slide driven by speculation that authorities will step in again to prop up the Japanese Yen. However, the BoJ's dovish Minutes cap the JPY. Meanwhile, the US Dollar regains traction as the US-Iran standoff supports crude oil prices, fueling inflation fears and reaffirming bets for an October Fed rate hike. This further supports the pair, driving it back toward 158.00.

Gold tumbles below $4.150 as US bond yields, oil prices rise

Gold price falls to near $4,125 during the early Asian session on Tuesday. The precious metal faces some selling pressure as rising US Treasury yields and expectations of further Federal Reserve interest rate hikes sap demand for the non-yielding metal.

HBAR, QNT rally as AI safety and tokenized deposits fuel institutional momentum

Hedera (HBAR) and Quant (QNT) are among the crypto market’s strongest performers on Monday, as fresh developments around artificial intelligence (AI) and tokenized banking drive renewed institutional attention. HBAR briefly surged above $0.130 before settling around $0.123, gaining 30% over the past 24 hours.

The week ahead: A key moment for the global economy as threats rise

UK diesel hits a record, as economic concerns rise. The market expects an aggressive Fed rate hiking cycle, but is it necessary? Oil supply concerns ease, even as oil prices rise. What’s next for the AI trade.

Fed vs BoJ: Both hiked. The market only believes one of them – and the chart shows which

The Fed and the BoJ have just done something remarkably similar. Both central banks raised interest rates by 25 bps last week, both are confronting inflation risks, and both signal that future decisions will depend on incoming economic data.