Category: Financial Markets
AUD/USD 4-hour chart
The AUD/USD on the 4-hour chart, pair has been confronting solid resistance at the constantly falling trend line from Wednesday’s high around 0.7600 marks.
The bears might then capture the horizontal support levels of 0.7465 and 0.7445. The AUD/USD bears will then hunt upon on 0.7409 falls on Friday. However it may reverse the current trend and move north if the price breaks the bearish slope line.
The critical psychological level of 0.7500 would be the first priority for bulls in line.
There is marked 0.7520 horizontal resistance level that would then be followed by the 0.7535 high of Wednesday.
(Source: FXSTREET)
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A sharp drop from monthly highs 1% recovered, putting it in a great position to start the week optimistic, boosting commodity-linked currencies.
“The scenario is also likely to dampen interest in both business and pleasure travel to other Australian states, given the potential of becoming trapped is quite real.”
From a daily standpoint, the price is at a fork in the road. A break of support, given the bearish tendency, would be likely to result in a negative extension.
(Source: FX Street)
General Advice Warning
Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.
The 0.75 handle has previously served as resistance, so it’s highly possible that we’ll have to work a little to get beyond it. On the downside, we had broken through the 0.75 handle.
If we break below this weekly candlestick, we’ll almost certainly aim for the 0.75 level below, and look closely at the weekly chart, you can see the big head and shoulders pattern that just broke down.
(Source: The Economics Times)
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Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.
Even as it starts to reduce its quantitative easing programme, the RBA is expected to applaud the Australian dollar’s reaction to its policy moves, hoping that it would help it achieve its goal of bringing inflation down within its target range. Even as the market begins to price in rate hikes as early as 2022, the RBA repeated on Tuesday that it does not plan to raise the cash rate before 2024. Even as the market starts to price in rate hikes as early as 2022, the RBA repeated on Tuesday that it does not plan to raise the cash rate before 2024.
Following the RBA conference, markets shifted their rate expectations forwards. They had returned to where they were before the meeting by Wednesday. Because of its position, the RBA may be one of the last major central banks to raise interest rates. While many in the market saw the RBA’s actions as hawkish, it continues one of the most dovish major central banks in the world.
Source afr
General Advice Warning
Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.
The AUD/USD concluded at.7490 on Friday, up 0.0059 or +0.79%, while the NZD/USD finished at.6999, up 0.0052 or +0.75%.The surge in Treasury yields in the United States on Friday boosted riskier assets and currencies, with global stock markets surging and commodity-linked Australian and New Zealand Dollars gaining traction.
Treasury yields are rising, while U.S. stocks are reaching new highs, and the dollar is weakening
Treasury yields rose further on Friday, as the 3 key US stock indexes soared to new highs, as markets eased off their fears of a faltering economic recovery following COVID-19, which had dominating trading for much of the week. Early in the week, fears of a failing recovery, fueled in part by the spread of the Delta coronavirus, lowered risk appetite and triggered flight-to-safety bond purchases, with some wagering the reflation trade had stopped.
On Thursday, 10-year US government bond yields fell to a four-and-a-half-month low as a result of this action. Investors were cutting short bond positions through July 6, according to data released on Friday, which pushed on yields. Stocks gained as financials and other economically focused sectors recovered from earlier in the week’s selloff driven by growth concerns.
Throughout the week, the Aussies and Kiwis have been under pressure.
The Australian and New Zealand currencies were under pressure for the majority of the week as global risk aversion damaged equities and lowered bond yields, while a further lockdown in Sydney posed a threat to the domestic economy. The news that Sydney’s lockdown will be prolonged for a third week did not assist the Aussie, as the Delta variant outbreak showed no signs of decline.
The country’s economic interruption merely highlighted the necessity for the Reserve Bank of Australia (RBA) to maintain its stimulus, with Governor Philip Lowe stating that interest rates are unlikely to rise before 2024.
Source finance.yahoo
General Advice Warning
Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.
