AUDUSD Movement
For the 24 hours to 23:00 GMT, AUD strengthened 0.75% against the USD to close at 0.9299, as investors cheered the latest batch of upbeat economic data from China, Australia’s largest trading partner.
In China, an official report showed that industrial production in the nation rose 10.4% (YoY) in August, more than analysts’ estimate for a 9.9% rise and following a 9.7% increase seen in the previous month. Another report depicted that the nation’s retail sales advanced 13.4% (YoY) in August, defying market expectation for an absence of change from a 13.2% increase recorded in the earlier month.
LME Copper prices declined 0.3% or $19.5/MT to $7172.0/MT. Aluminium prices eased 0.4% or $7.5/MT to $1759.5/MT.
In the Asian session, at GMT0300, the pair is trading at 0.9289, with the AUD trading 0.11% lower from yesterday’s close, as investors cashed out of the market to lock in gains following an impressive recent rally by the Aussie. Earlier today, data showed that Westpac consumer confidence in Australia rose 4.7% in September, compared to a 3.5% rise witnessed in the previous month. Positive sentiment for the risk-on Aussie was also fuelled after the US President, Barack Obama, asked the Congress to delay its vote authorizing a military attack against Syria while the nation assessed Russia’s proposal for the Syrian regime to submit its chemical weapons to international control.
The pair is expected to find support at 0.9246, and a fall through could take it to the next support level of 0.9202. The pair is expected to find its first resistance at 0.9327, and a rise through could take it to the next resistance level of 0.9364.
Traders are expected to keep an eye on global economic news for further guidance, amid lack of domestic economic news from Australia.
The currency pair is showing convergence with its 20 Hr moving average and is trading above its 50 Hr moving average.
