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
Subscribe
Please try again
EUR/USD
Bullish
Oil - US Crude
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
Wall Street
Mixed
Gold
Mixed
GBP/USD
Mixed
USD/JPY
Bullish
More View more
Real Time News
  • What's the difference between leading and lagging indicators? Find out from here: https://t.co/vGx8HCagF5 https://t.co/4DGXwA8vqs
  • Struggling to define key levels? Floor-Trader Pivots assist traders in identifying areas in a chart where price is likely to approach and can be used to set appropriate targets, while effectively managing risk. Learn how to use this indicator here: https://t.co/Ye4m1FMKUW https://t.co/mAMhWbV6Jy
  • Make smart trading decisions with your free guide to trade the news. Download your free guide here.https://t.co/pb5E2KgRzW #DailyFXGuides https://t.co/E9ZmJvqO0z
  • Currency exchange rates are impacted by several factors. Are different world leaders a contributing factor? Find out here: https://t.co/4jsORznRTE https://t.co/fqxw1AoKc1
  • Gold snapped a two-week losing streak but keeps price within the broader August downtrend. These are the levels that matter on the $XAUUSD weekly chart. Get your market update from @MBForex here: https://t.co/B3Jct6mIBD https://t.co/xTGIM2hRBv
  • $GBPUSD continues to move higher, despite Friday’s weakness, as vaccination hopes continue to fuel positive sentiment despite ongoing lockdown fears and downbeat UK data. Get your market update from @nickcawley1 here: https://t.co/S8UoHzOwFN https://t.co/qI6UZdggvM
  • Risk management is one of the most important aspects of successful trading, but is often overlooked. What are some basic principles or risk management? Find out from @PaulRobinsonFX here: https://t.co/IsnpfJhp91 https://t.co/6wxX6oQurn
  • Recessions can devastate the economy and disrupt the fortunes of individuals, businesses, and investors. But economic decline in the business cycle is inevitable, and your trading can be defined by how you respond to crisis. learn how to prepare here: https://t.co/e4CnobJCss https://t.co/w009tJEQZn
  • Looking for a new way to trade reversals? One of the most used reversal candle patterns is known as the Harami. Like most candlestick formation patterns, the Harami tells a story about sentiment in the market. Get better with trading reversals here: https://t.co/rfwUWJfbz9 https://t.co/2AeO1AdD2M
  • MACD who? The Moving Average Convergence Divergence (MACD) is a technical indicator which simply measures the relationship of exponential moving averages (EMA). Find out how you can incorporate MACD into your trading strategy here: https://t.co/ZNs4Qi8ieG https://t.co/INJz4NSugQ
Australian Dollar Ticks Up On China PMI, RBA In More Focus

Australian Dollar Ticks Up On China PMI, RBA In More Focus

David Cottle, Analyst

TALKING POINTS - CHINA PMI DATA, AUSTRALIAN DOLLAR:

  • China’s manufacturing PMI came in above expectations, just
  • The service sector did better, leading to a modest composite beat
  • Australian Dollar markets are probably focused closer to home this week with an RBA policy meeting coming up on Tuesday

Find out what the #1 mistake that traders make is and how you can fix it!

The Australian Dollar remains under broad pressure and got only a modest lift Monday from news of expansion in Chinese economic activity.

China’s official manufacturing Purchasing Managers index for April came in at 51.4, below the 51.5 seen in March but a whisker above expectations. In the logic of PMIs, any reading above 50 signifies expansion for the sector in question and the trend of measurable- if hardly stellar- growth for China’s big manufacturers continues.

The non-manufacturing PMI was 54.8 for a composite figure of 54.1, comfortably above the March figure of 54.0. China’s economy seems to be conforming to the more modest growth target of 6.5% set for it by Beijing this year, with worries only likely to grow if the year’s early quarters come to be seen as the high water mark for world growth.

The Australian Dollar can act as the foreign exchange markets’ liquid China proxy, but did not do so to any huge extent Monday with only a modest pickup seen.

Australian Dollar Ticks Up On China PMI, RBA In More Focus

On its broader, daily chart, AUD/USD remains under clear pressure. The US Federal Reserve, apparently still committed to raising interest rates, contrasts sharply with a Reserve Bank of Australia clearly in no hurry to lift its own record-low ones. Rate futures markets don’t suggest any pickup for Australian interest rates until June 2019, and the sense that the RBA is happy enough with this prognosis suggests that AUD/USD may well have further to fall.,

For now, it seems to be attempting a base just above the lows of last December. However, another RBA policy meeting underlining market suspicions could see it headed lower once more. The Austrralian central bank will announce its May interest rate call on Tuesday.

Australian Dollar Ticks Up On China PMI, RBA In More Focus

Resources for Traders

Whether you’re new to trading or an experienced old hand DailyFX has plenty of resources to help you get the best from your strategy. There’s our trading sentiment indicator which shows you live how IG clients are positioned right now. We also hold educational and analytical webinars and offer trading guides, with one specifically aimed at those new to foreign exchange markets. There’s also a Bitcoin guide. Be sure to make the most of them all. They were written by our seasoned trading experts and they’re all free.

--- Written by David Cottle, DailyFX Research

Follow David on Twitter @DavidCottleFX or use the Comments section below to get in touch!

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

DISCLOSURES