AUD/USD rebound loses momentum near 0.7110

The Aussie picks up pace and regains 0.7100 and above.
AUD remains bid despite growth concerns.
The pair stays supported around 0.7000.

Pablo Piovano FXStreet

The Aussie Dollar has started the week on a positive note and has lifted AUD/USD to fresh daily highs in levels beyond 0.7100 the figure.

AUD/USD bid on weak USD

Spot keeps recovering part of the ground lost in the last couple of sessions, managing to reclaim the critical 0.7100 handle while finding decent contention around the psychological 0.7000 neighbourhood.

Concerns over a global slowdown, particularly in the Chinese economy remain in centre stage, although recent comments from Chinese officials have emphasized the capacity of the economy to deal with downside pressures, all lending support to AUD.

On the positioning front, AUD speculative net shorts climbed to the highest level since late November 2018 during the week ended on March 19, according to the latest CFTC report.

What to look for around AUD

The broad risk-appetite trends continue to drive the sentiment in the high-beta currencies and the commodity-bloc, where developments in the US-China trade dispute remain the almost exclusive catalyst of the price action. Recent RBA minutes confirmed the shift to a more neutral stance from the central bank, while market participants continue to price in a rate cut at some point in H2 2019, all keeping the medium term bearish outlook on AUD unchanged for the time being.

AUD/USD levels to watch

At the moment the pair is gaining 0.27% at 0.7098 and a breakout of 0.7131 (55-day SMA) would aim for 0.7168 (high Mar.21) and finally 0.7215 (200-day SMA). On the downside, the next support emerges at 0.7003 (low Mar.8) followed by 0.6907 (monthly low Sep.4 2015) and then 0.6827 (monthly low Jan.26 2016).

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD meets initial support around 1.1800

EUR/USD remains on the back foot, although it has managed to reverse the initial strong pullback toward the 1.1800 region and regain some balance, hovering around the 1.1850 zone as the NA session draws to a close on Tuesday. Moving forward, market participants will now shift their attention to the release of the FOMC Minutes and US hard data on Wednesday.

GBP/USD bounces off lows, retargets 1.3550

After bottoming out just below the 1.3500 yardstick, GBP/USD now gathers some fresh bids and advances to the 1.3530-1.3540 band in the latter part of Tuesday’s session. Cable’s recovery comes as the Greenback surrenders part of its advance, although it keeps the bullish bias well in place for the day.

Gold remains offered below $5,000

Gold stays on the defensive on Tuesday, receding to the sub-$5,000 region per troy ounce on the back of the persistent move higher in the Greenback. The precious metal’s decline is also underpinned by the modest uptick in US Treasury yields across the spectrum.

Ethereum Price Forecast: BitMine extends ETH buying streak, says long-term outlook remains positive

Ethereum (ETH) treasury firm BitMine Immersion continued its weekly purchase of the top altcoin last week after acquiring 45,759 ETH.

UK jobs market weakens, bolstering rate cut hopes

In the UK, the latest jobs report made for difficult reading. Nonetheless, this represents yet another reminder for the Bank of England that they need to act swiftly given the collapse in inflation expected over the coming months.

Ripple slides to $1.45 as downside risks surge

Ripple edges lower at the time of writing on Tuesday, from the daily open of $1.48, as headwinds persist across the crypto market. A short-term support is emerging at $1.45, but a buildup of bearish positions could further weaken the derivatives market and prolong the correction.