AUDUSD Movement
For the 24 hours to 23:00 GMT, the AUD rose 0.27% against the USD and closed at 0.7487.
Yesterday, the OECD predicted Australian economic growth to slip below 3.0% by the end of 2016 and remain below it until 2018. Further, it added that the nation’s economic growth should mainly be driven by government spending on infrastructure, rather than further cuts in interest rates. It also warned that the Reserve Bank of Australia is likely to start raising interest rates towards the end of 2017 to contain the rising house prices.
LME Copper prices rose 1.94% or $113.0/MT to $5935.5/MT. Aluminium prices rose 0.89% or $15.5/MT to $1766.5/MT.
In the Asian session, at GMT0400, the pair is trading at 0.7466, with the AUD trading 0.28% lower against the USD from yesterday’s close.
Overnight data showed that Australia’s HIA new home sales dropped by 8.5% MoM in October, hitting its two year low level, compared to a gain of 2.7% in the previous month
The pair is expected to find support at 0.7439, and a fall through could take it to the next support level of 0.7412. The pair is expected to find its first resistance at 0.7495, and a rise through could take it to the next resistance level of 0.7524.
The currency pair is showing convergence with its 20 Hr moving average and trading above its 50 Hr moving average.
