AUD - Australian Dollar

The overnight session saw the Australian Dollar seesaw against its US counterpart. AUD/USD initially ascended from 0.7320 to 0.7344 before retreating back to 0.7280, well below the key 0.73 handle. With the Kiwi also rising against the greenback, AUD/NZD fell nearly 50 pips from 1.0880 to 1.0833.

Looking to the session ahead, domestic employment data is due out this morning. Despite July’s strong rebound, the unemployment rate is expected to come in higher than 7.5% as the shutdown in Victoria and slowdowns in employment growth in NSW begin to show. Traders will also be keeping an eye on GDP data due out of New Zealand and Eurozone inflation due out tonight for any clues about the state of global growth.

With the Australian Dollar oscillating around the 0.7300 handle heading this morning, topside resistance is still seen around the 0.7350 handle however with today’s employment report posing key risks, downside supports could be tested at the 0.7249 level.

Key Movers

The major event from overnight was the US federal Open Market Committee (FOMC) meeting which failed to surprise markets as the current policy stance was retained. The committee insisted rates will be kept at the current level few at least the next few years and reiterated it will aim for an inflation rate above 2% for some time.

The USD index was largely unchanged, rising only 0.2% however the EUR underperformed. EUR/USD fell from 1.8880 to 1.1788 during trade as ECB officials expressed concerns that the recent EUR strength was having a dampening effect on inflation. USD/JPY also fell below 1.05 to touch a six week low of 104.81.

Expected Ranges

AUD/USD: 0.7275 - 0.7350 ▼

AUD/EUR: 0.6120 - 0.6230 ▲

GBP/AUD: 1.7600– 1.7790 ▲

AUD/NZD: 1.0800 - 1.0900 ▼

AUD/CAD: 0.9600 - 0.9668 ▼

IMPORTANT: This information has been prepared for distribution over the internet and without taking into account the investment objectives, financial situation and particular needs of any particular person. Oz Forex Foreign Exchange makes no recommendations as to the merits of any financial product referred to in this website, emails or its related websites. Please read our Product Disclosure Statement and our Financial Services Guide.

Regulated in Australia by ASIC (AFS Licence number 226 484)
© 2010 Copyright Oz Forex Foreign Exchange Pty Ltd ABN 65 092-375-703
OzForex Foreign Exchange Services

Member of FOS (Financial Ombudsman Service)
Full Member of AFMA (Australian Financial Markets Association)

Analysis feed

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Analysis


Latest Forex Analysis

Editors’ Picks

EUR/USD holds gains above 1.1850 amid tepid market mood

EUR/USD is trading above 1.1850, holding onto recent gains The uptrend, however, at risk as coronavirus cases rise across the Eurozone. New lockdown restrictions may force the ECB to adopt a stronger dovish stance. Focus shifts to Powell's speech, EZ Preliminary PMIs. 

EUR/USD News

GBP/USD hovers around 1.2950 amid likely virus curbs

GBP/USD stays well bid near  mid-1.2900s following three successive failures to cross 1.3000 during last week. UK’s health authorities mull lockdown restrictions. Chancellor Sunak may extend business support loans. Fedspeak eyed amid a light calendar. 

GBP/USD News

USD/JPY drops to over six-month lows, fast approaching 104.00 mark

USD/JPY witnessed some follow-through selling for the sixth consecutive session on Monday. The USD was being pressured by fading hopes of another round of the fiscal stimulus measures. Resurgent COVID-19 cases benefitted the safe-haven JPY and contributed to the offered tone.

USD/JPY News

Gold jumps back on the bids above $1950 amid risk-aversion

Gold is back on the bids above $1950 amid growing coronavirus fears induced risk aversion. Gold's multi-week consolidation in a narrowing price range could end with a bullish breakout, as a widely-tracked daily chart indicator is about to turn bullish. 

Gold News

WTI buyers attack $41.00 amid US-Iran tension, escalating virus woes

WTI remains heavy below 50-day SMA, drops from $41.18 to begin the week. The energy benchmark keeps trailing 50-day SMA for over two weeks while taking clues from the US-Iran tussle and the coronavirus (COVID-19) headlines. Hopes of further stimulus, China’s optimism favor energy bulls.

Oil News

Forex Majors

Cryptocurrencies

Signatures