AUD/USD consolidates the Asian spike to 0.6760 amid trade hopes


  • AUD/USD underpinned by US-China currency pact and Huawei news.
  • All eyes on the US CPI and trade developments for the next direction.

The bulls appear to take a breather in the European trading, allowing the AUD/USD pair to consolidate the Asian bounce to near 0.6760 region, as markets await the US inflation data for fresh impetus ahead of the key US-China trade talks.

At the press time, the spot remains strongly bid near the midpoint of the 0.67 handle

The higher-yielding Aussie bounced-off four-day lows of 0.6710 and rallied nearly 45-pips, in a knee-jerk reaction to a Bloomberg report that cited “the White House is looking at rolling out a previously agreed currency pact with China as part of an early partial deal that could pave the way for a suspension of the planned tariff increase next week,” according to FXStreet’s Analyst Omkar Godbole.

The currency pact would be followed by more negotiations on core issues like intellectual property and forced technology transfers, the people familiar with the matter told Bloomberg.

Further, the Chinese proxy, the AUD, also cheered the news about the White House planning to issue licenses allowing some American companies to supply nonsensitive goods to the Chinese telecom giant Huawei. These moves by the US appear to ease the US-Sino trade tensions, as all eyes now remain on the high-level trade talks due later on Thursday in Washington.

Meanwhile, on the data front, the US September CPI report will be closely eyed for fresh hints on the US interest rates outlook, after the Fed Chair Powell said, in his recent speeches, the Fed remains data-dependent amid trade risks and global growth concerns.

AUD/USD Technical levels

AUD/USD

Overview
Today last price 0.6747
Today Daily Change 0.0024
Today Daily Change % 0.36
Today daily open 0.6723
 
Trends
Daily SMA20 0.6778
Daily SMA50 0.6779
Daily SMA100 0.6868
Daily SMA200 0.6983
 
Levels
Previous Daily High 0.675
Previous Daily Low 0.6704
Previous Weekly High 0.6776
Previous Weekly Low 0.667
Previous Monthly High 0.6895
Previous Monthly Low 0.6687
Daily Fibonacci 38.2% 0.6722
Daily Fibonacci 61.8% 0.6733
Daily Pivot Point S1 0.6701
Daily Pivot Point S2 0.6679
Daily Pivot Point S3 0.6655
Daily Pivot Point R1 0.6748
Daily Pivot Point R2 0.6772
Daily Pivot Point R3 0.6794

 

 

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 nears weekly highs as risk-on returns

The EUR/USD pair was dragged higher by a soaring Pound, now hovering around 1.1040. The market is all about sentiment, and this last dependent on Brexit and the US-China trade relationship.

 

EUR/USD News

GBP/USD surges to 5-month highs on reports of a draft Brexit deal

GBP/USD has leaped toward 1.28, hitting the highest since May. Reports suggest that the UK and the EU are zooming in on a deal. Details are awaited and negotiations continue.

GBP/USD News

USD/JPY in search of a firm direction, stuck in a range below mid-108.00s

The prevalent risk-on mood weighed on the JPY’s safe-haven status and extended support. A sharp fall in the US bond yields undermined the USD and failed to impress bullish traders.

USD/JPY News

Gold slumps to $1,480 area on Brexit hopes

The troy ounce of the precious metal continued to weaken in USD terms in the American trading hours as markets cheered reports claiming that the European Union (EU) and the United Kingdom (UK) are closing in on a draft Brexit deal that could be announced before the end of the day on Tuesday.

Gold News

Cryptos: Incumbents don't know to play well

The Libra project led by Facebook remains on track despite the first defections. Those who have abandoned the project are mostly payment gateways. Bitcoin's lack of tone weighs on Ethereum's mood.

Read more

Forex MAJORS

Cryptocurrencies

Signatures