- RBA minutes emphasize incoming data, with labor statistics being the key, to determine next policy moves.
- AUD/JPY continues to cheer previous upbeat sentiment amid lack of risk catalysts.
Despite the Reserve Bank of Australia’s (RBA) latest monetary policy meeting minutes highlighting the central bank’s readiness to act “if needed”, the AUD/JPY remains firm around 76.00 during early Tuesday.
In its monetary policy meeting minutes for the July 02 decision, the RBA fails to offer any direct signs for future actions and rather highlighted incoming data flow after announcing 2 such rate hikes during the year.
The pair recently took advantage of China’s data-dump and Japan’s recent holiday to rally to a 2-week high. It should also be noted that investors showed little attention to the US-China trade stalemate as it has been flashing mixed signs off-late.
The global risk gauge, 10-year treasury yield of the US Government Bond, remains on a back foot around 2.085% by the press time.
Thursday’s Australian jobs report become key for the Australian Dollar (AUD) traders as the RBA continues to emphasize incoming data flow while the Governor highlights unemployment rate as the lead indicator to predict next policy move.
Additionally, risk events like trade headlines and political tussles may join today’s speech by the global leaders at the French G7 Presidency 2019 to determine near-term market sentiment.
Technical Analysis
A 5-week old rising wedge limits the pair moves between the 76.45 and 75.45 with the resistance-line getting an additional back up from 50% Fibonacci retracement of April-June downpour. While 77.07 and February month low around 77.45 can lure the buyers past-76.45, 74.80 and June month low near 73.92 may appear on the downside break to 75.45.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD drops below 1.0800 after German Retail Sales data
EUR/USD has come under fresh selling pressure and trades below 1.0800 after the data from Germany showed that Retail Sales declined by 1.9% MoM in February. Resurgent US Dollar demand is adding to the downside in the pair. US data are next in focus.
GBP/USD stays weak near 1.2600 amid market caution
GBP/USD remains defensive near 1.2600 in European trading on Thursday. The hawkish tone from Fed Governor Christopher Waller keeps the US Dollar afloat amid a cautious trading environment ahead of key US data releases and the Good Friday trading lull.
Gold price bulls keenly await US PCE Price Index on Friday before placing fresh bets
Gold price (XAU/USD) continues with its struggle to make it through the $2,200 mark on Thursday and oscillates in a narrow trading band through the early part of the European session.
XRP price falls to $0.60 support as Ripple ruling doesn’t help Coinbase lawsuit against SEC
XRP programmatic sales ruling by Judge Torres was completely rejected by another US Court that ruled in favor of the SEC in a lawsuit against Coinbase.
The other terminal rate: How far will policy rates be cut?
Recent communication by the Federal Reserve and the ECB has made it clear that the first cut in official interest rates is coming. Both central banks are saying the same but the ECB communication is more opaque than that of the Fed.