News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bearish
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Mixed
Gold
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bearish
USD/JPY
Bullish
More View more
Real Time News
  • The US Dollar could gain as it forms bullish technical formations against the Singapore Dollar and Malaysian Ringgit. USD/PHP may have bottomed, will USD/IDR rise next? Find out from @ddubrovskyFX here:https://t.co/3UIKmbLIvD https://t.co/PY2YyH4vkQ
  • The Indian Rupee may be at risk to the US Dollar as USD/INR attempts to refocus to the upside. This is as the Nifty 50, India’s benchmark stock index, could fall further. Get your $USDINR market update from @ddubrovskyFX here:https://t.co/3wsYlSxd26 https://t.co/z2qB9p8IgX
  • A proxy of #EmergingMarket capital flows hit its lowest since July, falling with the #SP500 after some divergence This is as #USD gained against its developing FX counterparts, highlighting potential risk of a spillover outwards Stay tuned for next week's #ASEAN fundy outlook! https://t.co/kAvpnb0EXO
  • 4 consecutive down weeks for the #SP500, last matched over a year ago #Fed balance sheet continues to gain very cautiously, now at its highest since the middle of June. Still, at slower pace than last week Focus shifts to US fiscal stimulus next week in the House of Reps https://t.co/f8zpSILm86
  • #Gold prices have broken lower and while the broader technical structure is constructive, the risk remains for a deeper correction before resumption. Get your $XAUUSD technical analysis from @MBForex here: https://t.co/7p3jPx6nQd https://t.co/nnCSdt6OV5
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇬🇧GBP: 0.00% 🇳🇿NZD: -0.02% 🇯🇵JPY: -0.15% 🇨🇭CHF: -0.23% 🇦🇺AUD: -0.25% 🇪🇺EUR: -0.33% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/O8Qb7OHZza
  • Commodities Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: -0.30% Gold: -0.33% Silver: -0.92% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/lEALo4Z1M9
  • The S&P 500 breakdown is testing the first major zone of support and we’re looking for a reaction. Get your S&P500 technical analysis from @MBForex here:https://t.co/JrTNmQ5c7g https://t.co/D79T1134P9
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.29%, while traders in EUR/GBP are at opposite extremes with 65.04%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/lzTHuIgzFQ
  • US Equities Update (Friday Close): $DJI +1.34% $SPX +1.60% $NDX +2.34% $RUT +1.59% $VIX -7.93%
Australian Dollar Eyes Jobs Data After S&P 500 Touched All-Time High

Australian Dollar Eyes Jobs Data After S&P 500 Touched All-Time High

2020-08-12 23:00:00
Dimitri Zabelin, Analyst
Share:

Australian Dollar, AUD/NZD Outlook, Wall Street Trade, Coronavirus Vaccine, Australian Jobs Data – TALKING POINTS

  • Australian Dollar may rise on strong risk appetite after upbeat day on Wall Street session
  • Moderna vaccine deal with US pushed equities higher. Tech reclaimed some lost ground
  • AUD/NZD reaching beyond five-year ceiling, gains may be curbed ahead of key resistance

Equity markets surged on Wednesday with the Dow Jones, S&P 500 and Nasdaq indies closing 1.23, 1.60 and 2.28 percent higher, respectively. The information technology categories in the former two benchmarks led with gains and helped pushed the tech-dominated Nasdaq higher, crowning it Wall Street trade’s champion. Market optimism also saw spreads on credit default swaps of corporate debt across the risk spectrum narrow.

How to Use IG Client Sentiment in Your Trading
How to Use IG Client Sentiment in Your Trading
Recommended by Dimitri Zabelin
Improve your trading with IG Client Sentiment Data
Get My Guide

The S&P 500 briefly surpassed its February peak before the selloff in March, marking an over 50 percent rise in less than 7 months, before closing just shy of it. Tesla shares spiked at open after the company announced a five-for-one stock split, closing at over $1,500 per share. Index heavy-weights like Apple (APPL) and Amazon (AMZN) recovered and helped lift the benchmarks that they are cataloged under.

Equity markets appeared to also rally after news crossed the wires that American biotechnology company Moderna has reached a deal with the US to produce 100 million doses of coronavirus vaccine. The news was announced by US President Donald Trump after markets had closed on Tuesday evening. The news subsequently catapulted equity markets the following day.

Their rise came at the expense of the haven-linked US Dollar which had benefited from souring sentiment the preceding two days. The cycle-sensitive Australian and New Zealand Dollars were down, with the latter still reeling from the RBNZ rate decision. The British Pound also suffered and was arguably the session’s biggest loser in the aftermath of preliminary Q2 GDP data showing a jaw-dropping figure.

Thursday’s Asia-Pacific Trading Session

Asia-Pacific equity markets may rise as part of a sentimental echo effect after Wall Street trade. Consequently, USD and JPY may extend their losses but help stifle the fall in NZD and potentially push AUD higher. The latter will be thrust into the spotlight ahead of local jobs data. Analysts are estimating a 30.0k employment change for July, a 7.8% unemployment rate and a slightly higher participation rate at 64.4%.

AUD/NZD Analysis

AUD/NZD has broken above a five-year descending resistance channel with an eye at the June 2018 swing-high at 1.1090. The pair’s rise can be in part attributed to RBNZ policies and forecasts – like the one we saw on Wednesday – that weakened the New Zealand Dollar. Having said that, the pair may trim some of its recent gains if Australian employment data cause RBA easing expectations to swell and subsequently punish AUD.

AUD/NZD – Weekly Chart

Chart showing AUD/NZD

AUD/NZD chart created using TradingView

--- Written by Dimitri Zabelin, Currency Analyst for DailyFX.com

To contact Dimitri, use the comments section below or @ZabelinDimitri on Twitter

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES