AUDUSD Movement
For the 24 hours to 23:00 GMT, AUD weakened 0.50% against the USD to close at 0.9122, as the latest batch of upbeat economic data from the US fuelled fresh speculation that the Fed might begin tapering its asset purchase program later this month.
LME Copper prices declined 0.3% or $22.5/MT to $7103.0/MT. Aluminium prices rose 0.5% or $9.5/MT to $1754.0/MT.
In the Asian session, at GMT0300, the pair is trading at 0.9133, with the AUD trading 0.12% higher from yesterday’s close. Earlier today, in Australia, the AiG performance of construction index advanced to a reading of 43.7 in August, compared to a level of 44.1 registered in the previous month.
The pair is expected to find support at 0.9106, and a fall through could take it to the next support level of 0.9078. The pair is expected to find its first resistance at 0.9168, and a rise through could take it to the next resistance level of 0.9202.
Amid lack of economic releases from Australia, investors are expected to keep a close watch over global economic news for further direction. Meanwhile, the Australian Dollar is expected to take further cues from the outcome of the country’s Federal Election, with less than a day to go before voting sets to begin. Speculation has increased that Tony Abbot leader of the opposition Liberal National Coalition Party would come to rule, ending the Labor Party’s six years (two terms) in power.
The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.
