AUDUSD Movement
For the 24 hours to 23:00 GMT, the AUD strengthened 0.47% against the USD to close at 0.9370, following strong Australian employment figures.
LME Copper prices edged up marginally by $2.5/MT to $6690.5/MT. Aluminium prices declined 0.6% or $11.0/MT to $1717.5/MT.
In the Asian session, at GMT0300, the pair is trading at 0.9357, with the AUD trading 0.14% lower from yesterday’s close, hurt by lacklustre consumer and producer inflation data from Australia’s largest trading partner, China. Negative sentiment was also fuelled after the RBA, in its quarterly monetary policy statement, lowered its growth forecast on the Australian economy to 3.0% in June quarter of this year, down from its previous growth estimate of 3.25%. Additionally, the central bank maintained its economic growth forecast for the year ended December 2014 at 2.75%, but downgraded its 2015 GDP growth-estimate to 2.75-3.75% from 3.0-4.0%. The RBA also highlighted its expectations for consumer inflation rate in Australia to rise to 3.0% by the middle of 2014 from a year earlier.
The pair is expected to find support at 0.9334, and a fall through could take it to the next support level of 0.9311. The pair is expected to find its first resistance at 0.9388, and a rise through could take it to the next resistance level of 0.9419.
The currency pair is trading below its 20 Hr moving average and is showing convergence with its 50 Hr moving average.
