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.

Free Trading Guides
EUR/USD
Mixed
GBP/USD
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
USD/JPY
Bullish
Gold
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
Bitcoin
Mixed
More View more
Real Time News
  • $EURUSD: Any close below the low end of the zone could convince sellers to press EUR/USD towards 1.0912. Get your technical analysis from @malkudsi here:https://t.co/tR6iKqlMSz https://t.co/uDmTsRrqIA
  • -Above upper barrier of 1std dev options-implied trading range outlined last Friday -Running along top channel of its Bollinger Band with compressing width -RSI teetering into overbought territory -MACD suggests upward momentum losing steam Will BOC's Poloz spark a reversal?🧐
  • $USDCAD has recorded an impressive rally since its October 29 intraday low (roughly +2.25%), but the currency pair could be a bit overextended and due for a slight pullback. https://t.co/mMNHavTxMo
  • US Dollar Technical Outlook: GBP/USD, AUD/USD, USD/CAD https://www.dailyfx.com/forex/fundamental/daily_briefing/session_briefing/daily_fundamentals/2019/11/21/us-dollar-technical-outlook-gbpusd-audusd-usdcad-js55-usd-price-chart.html
  • 🇺🇸 USD Philadelphia Fed Business Outlook (NOV), Actual: 10.4 Expected: 6.1 Previous: 5.6 https://www.dailyfx.com/economic-calendar#2019-11-21
  • 🇺🇸 USD Initial Jobless Claims (NOV 16), Actual: 227k Expected: 219k Previous: 227k https://www.dailyfx.com/economic-calendar#2019-11-21
  • 🇺🇸 USD Continuing Claims (NOV 9), Actual: 1695k Expected: 1683k Previous: 1692k https://www.dailyfx.com/economic-calendar#2019-11-21
  • 🇺🇸 USD Initial Jobless Claims (NOV 16), Actual: 227K Expected: 219k Previous: 225k https://www.dailyfx.com/economic-calendar#2019-11-21
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 98.16%, while traders in US 500 are at opposite extremes with 79.95%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/XTF3Zuhmts
  • Heads Up:🇨🇦 CAD Bank of Canada's Poloz Gives Fireside Chat in Toronto due at 13:40 GMT (15min) https://www.dailyfx.com/economic-calendar#2019-11-21
Australian Dollar More Interested in Risk Trends Than RBA Minutes

Australian Dollar More Interested in Risk Trends Than RBA Minutes

2018-02-20 01:00:00
Daniel Dubrovsky, Analyst
Share:

Talking Points:

  • February’s RBA minutes reiterated familiar language, had little new to add to the table
  • The Australian Dollar appeared to appreciate on the news, but its attention was elsewhere
  • Aussie Dollar’s focus is on risk trends. Gains were reversed as S&P 500 futures fell after

Find out here what retail traders’ Australian Dollar buy and sell decisions hint about the price trend!

The sentiment-linked Australian Dollar appeared to appreciate against its US counterpart following the release of RBA’s February monetary policy minutes. However, initial response was rather mute.

In the report, the central bank reiterated that the increase in inflation was likely to occur only gradually as the economy strengthened. In addition, policymakers acknowledged that global and domestic data since December’s meeting has been generally positive. Going forward, they expect strong retail competition to persist over the next few years.

The central bank’s tone largely echoed what was stated earlier in the month and arguably had little new to add to the table. Just last week, RBA’s Governor Philip Lowe argued that he didn’t “see a strong case for a near-term policy adjustment”. As expected, the central bank continued to show reluctance in changing rates for now while the markets think otherwise.

A rather status quo minutes probably allowed the Australian Dollar to focus on risk trends uninterrupted. Leading into the release, the currency was already climbing alongside S&P 500 futures (E-mini contracts). Simultaneously, a weaker US Dollar probably also benefited the Aussie.

Shortly after the report crossed the wires, the sentiment-sensitive currency reversed course along with S&P futures (see chart below). With that in mind, the currency will probably continue tracing stocks.

Australian Dollar More Interested in Risk Trends Than RBA Minutes

On a daily chart, AUD/USD has paused its momentary recovery. The pair has been hovering in-between the 23.6% and 38.2% Fibonacci retracements at 0.7986 and 0.7894 respectfully. A break below near-term support will expose the 50% level at 0.7819 while a push higher will put the 14.6% minor level at 0.8043 in sight.

Australian Dollar More Interested in Risk Trends Than RBA Minutes

On a weekly chart, AUD/USD appears to be taking a break after a decline which followed the formation of a Bearish Engulfing candlestick pattern. This drop occurred as negative RSI divergence built up. A continuation of the reversal would have prices soon testing the long-term rising trend line from January 2016.

Australian Dollar More Interested in Risk Trends Than RBA Minutes

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

DISCLOSURES

News & Analysis at your fingertips.