AUD/USD seesaws near 0.6880 ahead of domestic data

  • Looming rate cut compresses the Aussie gains.
  • Latest positive news from the US-China trade front pleases buyers ahead of domestic data.

The AUD/USD pair trades little positive near 0.6885 during the early Asian session on Wednesday.

The Aussie pair witnessed downpour on Tuesday after RBA minutes and comments from Governor Lowe highlighted chances of a rate cut in June.

However, latest statements from China’s Ambassador to the US, Cui Tiankai, seems to brighten the mood as it signals brighter chances to break the impasse in the US-China trade talks and China’s readiness to buy more goods and services from the US.

Risk tone in the market remains a bit up with the US 10-year treasury yields holding more than two basis points’ gain to 2.428%.

Traders may now look forward to April month Westpac leading index and first quarter (Q1) 2019 construction work done data for fresh impulse. While Westpac gauge grew +0.2% in its previous release, construction work is likely to reverse previous -3.1% decline with 0.0% mark.

FOMC minutes will also be on the investors’ radar during the US session as global central bankers have started showing readiness for rate cuts.

Technical Analysis

Pair’s failure to slip beneath latest lows of 0.6860 can trigger its pullback to A downward sloping trend-line since April 18, at 0.6930 now, a break of which can recall 0.7000 and 0.7030 on the chart.

Should prices slip under 0.6860, January 2016 low surrounding 0.6830 and 0.6800 could flash on the bear’s radar.

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 rises above 1.1200 amid some USD weakness

EUR/USD is trading above 1.1200, recovering some of the losses. Earlier, ECB officials expressed concern about global growth President Draghi speaks later. Tension is rising toward the Fed decision.


GBP/USD pressured below 1.2600, Conservative contest in focus

GBP/USD is trading below 1.2600, consolidating the losses seen on Friday after US retail sales beat expectations. The Conservative contest is heating up ahead of tomorrow's second vote.


USD/JPY: wait-and-see continues ahead of Fed

The dollar consolidates its gains against most rival, and scarce data exacerbates the quietness. USD/JPY bullish above 108.90, bearish below 108.10.


Gold recovers early lost ground, back above $1240 level

Gold recovered a major part of its early slide and moved to the top end of its daily trading range, above the $1340 region post-US data.

Gold News

Gold: Signs of bullish exhaustion ahead of the Fed

Gold's rally seems to have run its course with signs of bullish exhaustion emerging on technical charts ahead of Wednesday's FOMC (Federal Open Market Committee) rate decision.

Read more