AUDUSD Movement
For the 24 hours to 23:00 GMT, the AUD declined 0.94% against the USD and closed at 0.7815.
LME Copper prices declined 0.8% or $54.0/MT to $7006.0/MT. Aluminium prices declined 0.7% or $14.5/MT to $2181.5/MT.
In the Asian session, at GMT0400, the pair is trading at 0.7817, with the AUD trading slightly higher against the USD from yesterday’s close.
Overnight data showed that Australia’s NAB business confidence index dropped to a level of 6.0 in the three months to December 2017. The index had recorded a revised reading of 8.0 in the previous quarter.
Elsewhere in China, Australia’s largest trading partner, trade surplus narrowed more-than-estimated to CNY135.8 billion in January, compared to a surplus of CNY362.0 billion in the prior month. Markets were expecting the nation to register a trade surplus of CNY330.0 billion.
Moreover, the nation’s exports rose 6.0% on an annual basis in January, exceeding market expectations for a gain of 2.6% and after recording an increase of 7.4% in the previous month. Further, the nation’s imports jumped 30.2% YoY in January, beating market expectations for a rise of 5.3%. Imports had climbed 0.9% in the previous month.
The pair is expected to find support at 0.7787, and a fall through could take it to the next support level of 0.7758. The pair is expected to find its first resistance at 0.787, and a rise through could take it to the next resistance level of 0.7924.
Going ahead, traders would eye the Reserve Bank of Australia’s (RBA) quarterly statement on monetary policy, due to release overnight.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
