AUD/USD clings to gains, comfortably above 0.6900 handle


   •  Return of Australia's incumbent government was seen as a positive trigger.
   •  US-China trade tensions/RBA rate cut speculations seemed to cap gains.
   •  The focus now shifts to Powell's speech and RBA policy meeting minutes.

The AUD/USD pair built on the weekly bullish gap and is currently placed at the top end of its daily trading range, comfortably above the 0.6900 handle. 

After last week's slump to the lowest level since early January, the pair opened with a bullish gap at the start of a new trading week in reaction to a surprise election victory for the country's conservative government. Return of the incumbent government was seen as giving a bit of a stimulus to spending power on the back of their promised tax cuts, which was cited as a positive trigger for bullish traders. 

The uptick, however, lacked any strong follow-through and remained capped amid persistent worries over US-China trade tensions, which had been one of the key factors weighing on the China-proxy Australian Dollar. This coupled with growing bets for an eventual RBA rate cut might further collaborate towards capping any runaway rally for the major, at least for the time being. 

Hence, the focus now shifts to the upcoming release of RBA monetary policy meeting minutes, which will be preceded by the Fed Chair Jerome Powell's scheduled speech during the Asian session on Tuesday. In the meantime, the broader market risk sentiment and the US Dollar price dynamics might now influence the momentum amid absent relevant market moving economic releases. 

Technical levels to watch

AUD/USD

Overview
Today last price 0.692
Today Daily Change 0.0058
Today Daily Change % 0.85
Today daily open 0.6862
 
Trends
Daily SMA20 0.7
Daily SMA50 0.7069
Daily SMA100 0.7101
Daily SMA200 0.7149
Levels
Previous Daily High 0.6898
Previous Daily Low 0.6862
Previous Weekly High 0.7003
Previous Weekly Low 0.6862
Previous Monthly High 0.7206
Previous Monthly Low 0.6988
Daily Fibonacci 38.2% 0.6876
Daily Fibonacci 61.8% 0.6884
Daily Pivot Point S1 0.685
Daily Pivot Point S2 0.6838
Daily Pivot Point S3 0.6814
Daily Pivot Point R1 0.6886
Daily Pivot Point R2 0.691
Daily Pivot Point R3 0.6922

 

 

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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD's range play continues ahead of Eurozone Consumer Confidence

EUR/USD remains directionless despite the drop in the US treasury yields. An above-forecast Eurozone Consumer Confidence will likely push the pair higher to the trendline falling from June highs. 

EUR/USD News

GBP/USD sits at 2-month tops ahead of key Brexit talks

Fresh optimism surrounding the Brexit deal propels GBP/USD to a two-month high. Brexit talks between the EU's chief negotiator Michel Barnier and UK Brexit Secretary Stephen Barclay will be the key.

GBP/USD News

USD/JPY: Bears eyeing break below 107.45

USD/JPY trades modestly flat, with the bias leaning to the downside, as we wind down into the close for the week following a data-heavy number of sessions which have left more questions unanswered and the outlook murky. 

USD/JPY News

Gold holds on to recovery gains amid trade/political pessimism

In addition to bouncing off multi-month-old rising trend-line, Gold gains support form recently downbeat trade/political headlines while taking the bids to $1,500 during Friday’s Asian session.

Gold News

Markets unmoved by Fed cut and pause

The Federal Reserve’s latest twist in monetary policy, reducing the fed funds for a second time in two months and then pausing for instructions has left markets without a clear direction on interest rates. Equites ended mixed.

Read more

Forex MAJORS

Cryptocurrencies

Signatures