AUD/USD: Off session high after RBA’s Financial Stability Review

  • AUD/USD snaps three-day winning streak after RBA’s Financial Stability Review (FSR).
  • The bi-annual cited recently high uncertainty to weigh over the banks’ performance and economy.
  • Earlier during the day, comments from the US diplomats kept the risk-tone lighter.
  • US economic docket, virus updates will be observed for fresh impulse.

With the RBA’s FSR highlighting the coronavirus (COVID-19) risk, AUD/USD drops from the session high of 0.6250 to currently down 0.20% around 0.6220 amid Thursday’s Asian session.

The Financial Stability Report (FSR) signaled that the Aussie financial system was strong initially before the virus breakout. The bi-annual report also mentioned, “Heightened uncertainty related to the pandemic is compounding the usual volatility in financial markets.”

Read: RBA’s Financial Stability Review: Financial system was in a strong position heading into virus impacts, faces increased risks

Earlier during the day, upbeat comments from US President Donald Trump, concerning the economic re-start, as well as updates for the COVID-19 clinical trials, helped the risk-tone to extend the previous strength.

That said, the US 10-year Treasury yields drop one basis point (bp) to 0.75% whereas Japan’s NIKKEI marks 0.50% loss to 19,260. Even so, Australia’s ASX 200 remains 1.80% up to 5,300 amid hopes of further stimulus.

Although virus updates are likely to remain as the key catalyst, the US weekly Jobless Claims will also be the key due to its latest jumps based on the virus impact.

Technical analysis

Sellers await a clear break below 21-day SMA figures near 0.6050 for fresh entry while an area comprising March 09 low surrounding 0.6300/10 could restrict short-term recovery moves.

Additional important levels

Today last price 0.6216
Today Daily Change -14 pips
Today Daily Change % -0.22%
Today daily open 0.623
Daily SMA20 0.6039
Daily SMA50 0.6401
Daily SMA100 0.6635
Daily SMA200 0.6735
Previous Daily High 0.6246
Previous Daily Low 0.6115
Previous Weekly High 0.6214
Previous Weekly Low 0.598
Previous Monthly High 0.6686
Previous Monthly Low 0.5509
Daily Fibonacci 38.2% 0.6196
Daily Fibonacci 61.8% 0.6165
Daily Pivot Point S1 0.6148
Daily Pivot Point S2 0.6066
Daily Pivot Point S3 0.6016
Daily Pivot Point R1 0.6279
Daily Pivot Point R2 0.6329
Daily Pivot Point R3 0.6411



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.

Feed news

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD hits fresh two-month highs amid dollar weakness

EUR/USD has hit new two-month highs above 1.1940 as the dollar resumes its decline. Optimism about the US transition and covid vaccines is weighing on the safe-haven dollar. 


GBP/USD falls toward 1.33 amid Brexit acrimony

GBP/USD is falling toward 1.33 as both the EU and the UK are busy blaming each other for an impasse in Brexit talks. The thorny issues remain fisheries, governance and setting a level playing field.


XAU/USD attempting to bounce up from $1,775 low

Gold futures accelerated heir downtrend from last week highs near $1,900, breaking below the 200-day SMA, at $1,800 area, to hit its lowest prices in nearly five months, at $1,775.

Gold news

Dollar offered ahead of the weekend

Equities are finishing the week on a firm tone, while the US dollar remains heavy. In the Asia Pacific, only Australia and India did not end the week on a firm note.

Read more

Black Friday 2020 Discounts!

Learn to trade with the best! Don't miss the most experienced traders and speakers in FXStreet Premium webinars. Also if you are a Premium member you can get real-time FXS Signals and receive daily market analysis with the best forex insights!

More info