AUDUSD Movement
For the 24 hours to 23:00 GMT, AUD weakened 0.39% against the USD to close at 1.0972, after the release of disappointing manufacturing data in the US and the UK.
In Australia, this morning, the total number of building approvals declined 3.5% (M-o-M) in June following a 6.3% contraction in the previous month. Additionally, the House Price Index, on quarterly basis, declined 0.1% in the second quarter of 2011 following a 1.7% contraction in the previous quarter.
In the Asian session at 3:00GMT, the pair is trading at 1.0980, 0.07% higher from yesterday’s close at 23:00 GMT, on speculation that RBA would increase borrowing costs in today’s meeting.
LME Copper prices rose 1.0% or $96.3/MT to $9,826.8/ MT. Aluminium prices rose 0.9% or $24.3/MT to $2,605.3/ MT.
The pair is expected to find first short term resistance at 1.1058, with the next resistance levels at 1.1135 and 1.1282, subsequently. The first support for the pair is seen at 1.0911, followed by next supports at 1.0841 and 1.0694 respectively.
Reserve Bank of Australia interest rate decision is likely to receive increased market attention, with other Australian economic data due to be released later today.
The currency pair is showing convergence with 20 Hr and its 50 Hr moving averages.
