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
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
Bullish
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
Bearish
Gold
Bearish
GBP/USD
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
USD/JPY
Mixed
More View more
Real Time News
  • Trump says Israel and the United Arab Emirates have reached an agreement to normalize relations
  • US dollar weakness has helped GBP/USD steady above 1.2950 in the past couple of weeks. Get your $GBPUSD market update from @nickcawley1 here: https://t.co/MHEcY9xIhN https://t.co/lJ5JdajXFw
  • Wirecard is finally getting kicked off the $DAX on September 3, here's a breakdown of the transition and replacement - https://www.dailyfx.com/forex/market_alert/2020/06/29/DAX-30-Forecast-What-Stock-Will-Replace-Wirecard-on-the-DAX-30-Index.html
  • US Treasury Yields: 2-Year: 0.157% 3-Year: 0.185% 5-Year: 0.294% 7-Year: 0.489% 10-Year: 0.682% 30-Year: .374% $TNX
  • Tune in to @RichDvorakFX 's #webinar at 11:00 AM ET/3:00 PM GMT to learn how to identify trends with trader #sentiment. Register here: https://t.co/MqVMi2rbN9 https://t.co/z1FJ6ZrKfh
  • what a sharp bounce off of that Fibo support in $EURUSD. Range resistance nearing, two inflections so far, 1.2000 looms large overhead $Euro https://t.co/l82DOgKuj5 https://t.co/OCl9vOgRId
  • #FTSE: A break above resistance should clear a path towards the June high at 6511 and the 200-day MA at 6588 (& declining).Get your FTSE 100 technical analysis from @PaulRobinsonFX here: https://t.co/0GDwWrhmJc https://t.co/Wp7IoZtulq
  • White House Economic Adviser Larry Kudlow has really changed his tone on the scale and sustainability of American debt. Remarks country isn't nearing its borrowing limits. https://t.co/rXOmwpRXzQ
  • $Gold price action appears fairly equalized right now, digestion narrowing within the 's2' zone looked at in this week's forecast. Going to break in one way or the other $GC $GLD https://t.co/K5t4aMXbQV https://t.co/jzbIrUye8c
  • 🇺🇸 Initial Jobless Claims (08/AUG) Actual: 963K Expected: 1120K Previous: 1186K https://www.dailyfx.com/economic-calendar#2020-08-13
AUDUSD Monthly Range on Radar Ahead of Fed Economic Symposium

AUDUSD Monthly Range on Radar Ahead of Fed Economic Symposium

2019-08-21 00:30:00
David Song, Strategist
Share:

Australian Dollar Talking Points

AUDUSD trades in a narrow range following the Reserve Bank of Australia (RBA) Minutes, and the exchange rate may continue to consolidate over the remainder of the week as attention turns to the Kansas City Fed Economic Symposium in Jackson Hole, Wyoming.

AUDUSD Monthly Range on Radar Ahead of Fed Economic Symposium

The RBA Minutes failed to generated a meaningful reaction in AUDUSD even though the central bank keeps the door open to implement lower interest rates, and it seems as though the central bank will continue to endorse a dovish forward guidance as “members would consider a further easing of monetary policy if the accumulation of additional evidence suggested this was needed to support sustainable growth in the economy.”

In contrast, recent remarks from Boston Fed President Eric Rosengren, a 2019-voting member on the Federal Open Market Committee (FOMC), suggest the Federal Reserve is in no rush to embark on a rate easing cycle as the official insists that the central bank needs “to be careful not to ease too much when we don’t have significant problems.”

At the same time, San Francisco Fed President Mary Daly asserts that there’s little evidence of a looming recession as “the labor market is strong, consumer confidence is high, and consumer spending is healthy,” but the ongoing shift in US trade policy may spur a growing rift within the FOMC as the committee comes under pressure to reverse the four rate hikes from 2018.

Image of Fed Fund futures

In fact, Fed Fund futures still highlight nearly a 100% probability for a 25bp reduction on September 18, and it remains to be seen if FOMC officials will make a major announcement ahead of the next meeting as Chairman Jerome Powell is scheduled to speak at the economic symposium.

In turn, the monthly range sits on the radar for AUDUSD, but the Australian dollar remains at risk of facing additional headwinds ahead of the next RBA meeting on September 3 as Governor Philip Lowe & Co. stand ready to further insulate the economy.

Sign up and join DailyFX Currency Strategist David Song LIVE for an opportunity to discuss potential trade setups.

AUD/USD Rate Daily Chart

Image of audusd daily chart

Source: Trading View

  • Keep in mind, the AUDUSD rebound following the currency market flash-crash has been capped by the 200-Day SMA (0.7055), with the exchange rate marking another failed attempt to break/close above the moving average in July.
  • With that said, the broader outlook for AUDUSD remains tilted to the downsideas both price and the Relative Strength Index (RSI) continue to track the bearish formations from late last year.
  • However, the string of failed attempts to close below the Fibonacci overlap around 0.6720 (78.6% expansion) to 0.6730 (100% expansion) raises the risk for a larger rebound especially as the RSI bounces back from oversold territory.
  • Need a break/close above the 0.6800 (61.8% expansion) handle to bring the former-support zone around 0.6850 (78.6% expansion) to 0.6880 (23.6% retracement) on the radar, with the next area of interest coming in around 0.6910 (38.2% expansion).
  • Will keep a close eye on the RSI as the oscillator starts to threaten the bullish formation carried over from the previous week.

Additional Trading Resources

Are you looking to improve your trading approach? Review the ‘Traits of a Successful Trader’ series on how to effectively use leverage along with other best practices that any trader can follow.

Want to know what other currency pairs the DailyFX team is watching? Download and review the Top Trading Opportunities for 2019.

--- Written by David Song, Currency Strategist

Follow me on Twitter at @DavidJSong.

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

DISCLOSURES

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.