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
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
Oil - US Crude
Mixed
Wall Street
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
Gold
Bearish
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • Technical indicators are chart analysis tools that can help traders better understand and act on price movement. Learn more about the importance of technical analysis here: https://t.co/NpC1D8y4Aa https://t.co/6sqqRfTri2
  • The British Pound, Australian Dollar and US Dollar may all experienced heightened periods of volatility as geopolitical risks in North America, Asia and Europe rattle global financial markets. Get your $GBPUSD market update from @ZabelinDimitri here:https://t.co/0EFToM5Y8I https://t.co/5gsZQfX6aG
  • The New Zealand Dollar may continue to outperform the haven-associated US Dollar as price breaks above key long-term resistance. Get your $NZDUSD market update from @DanielGMoss here:https://t.co/D1DxtDkJXd https://t.co/DwkK9F9FCJ
  • #Gold prices declined following bearish technical cues, but a key zone of support was reinforced over the past 48 hours. #XAUUSD volatility risk is elevated ahead of the #USElection - https://www.dailyfx.com/forex/technical/article/fx_technical_weekly/2020/10/30/Gold-Technical-Forecast-Election-Raises-Volatility-Risk-But-Support-Holds.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/5hgGEojvIE
  • What is the US Dollar outlook based on retail positioning ahead of the November 3rd presidential election? EUR/USD may fall as AUD/USD rises. Which way could USD/CAD capitulate? Find out from @ddubrovskyFX here:https://t.co/BVoIcR9anM https://t.co/Frmn9y6yKJ
  • US #COVID19 cases hit a record for a second consecutive day -BBG
  • The Indian Rupee may weaken following a breakout higher in USD/INR. Despite rising global stock market volatility, the Nifty 50 has been holding its ground. Could it capitulate lower? Find out from @ddubrovskyFX here:https://t.co/BNJ5uTKz1A https://t.co/VkvmiwWAtz
  • The US Dollar gained, pushing USD/SGD to break higher. However, USD/IDR may be looking at losses ahead. USD/MYR struggled to breach the March trendline. USD/PHP could rise.Get your market update from @ddubrovskyFX here:https://t.co/6W76mWMRrJ https://t.co/ukJG4eqDK0
  • The #DowJones and #SP500 have as of today averaged: -2.16% & 1.43% 3-months and 1-year before #Election2020 respectively What could this mean for the incumbent president/Trump next week? 👇 https://t.co/e4EyLTzRXl
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇬🇧GBP: 0.14% 🇨🇦CAD: 0.04% 🇦🇺AUD: 0.01% 🇨🇭CHF: -0.18% 🇳🇿NZD: -0.22% 🇪🇺EUR: -0.23% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/XuMcr136y1
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