RBA leaves the cash rate unchanged

October 4, 2016

The Reserve Bank of Australia's monetary policy meeting today saw the central bank leaving interest rates unchanged at 1.50%. The US dollar remains strong with prices seen rising for the second consecutive day. Resistance at 96.00 is likely to be tested in the US dollar index in the near term with further gains coming only on a close above this price level. The dollar remained bullish as yesterday's ISM manufacturing data posted a rebound. The economic calendar is relatively quiet today with no major US data on the tap.

AUDUSD Daily Analysis

AUDUSD (0.7667): AUDUSD is potentially forming a head and shoulders pattern at the current levels with the 4-hour session showing a shooting star pattern near the right shoulder. Neckline support is seen at 0.7600 - 0.7610 region. A breakout below this neckline support could trigger further declines down towards 0.7555. The short bias remains invalidated if AUDUSD manages to rally above the recent right shoulder high at 0.7691.

USDJPY Daily Analysis

USDJPY (102.17): USDJPY is seen attempting to breakout above 102.00 resistance currently. However, there could be a risk of a pullback considering the five consecutive days of gains. With the resistance at 102.00, any pullbacks could be seen limited to 101.00. On the 4-hour chart, price action currently shows a hidden bearish divergence with the Stochastics printing a higher high against the lower high in price. To the upside, further gains could see USDJPY test the next main resistance at 103.00.

EURAUD Daily Analysis

EURAUD (1.4604): EURAUD is currently testing September 28 lows near 1.4581. A bullish close on the 4-hour session above this support could keep EURAUD range bound below 1.4650 - 1.4632. However, the bias remains to the upside, and a breakout above 1.4650 could trigger further gains towards 1.4800. The Stochastics on the 4-hour chart shows a bullish divergence which could be confirmed on a convincing close above the resistance level of 1.4650 - 1.4632. Alternately, the long bias remains invalidated should prices fail to rise above the resistance level, in which case further declines could be expected.

Publication source
Orbex information  Orbex reviews

October 28, 2016
Greenback sticks to three-month peaks
On Friday, the Japanese yen remained close to it weakest level against the greenback for three months during Asia trade, right after a surge in American bond yields as well as the issue of economic data backing the case for growth in American interest rates strengthened the US dollar overnight...
October 28, 2016
Dollar remains king
The mounting expectations over the Federal Reserve raising US interest rates in December have inspired bullish investors to send the Dollar Index to fresh eight-month highs at 99.00...
October 28, 2016
OPEC is ready to formally seal the output
The crude oil gains as the Algerian Energy Minister Noureddine Butarfa hit the market with a statement saying that OPEC has a plan to complete the formal part of the output freeze agreement in the next meeting...

HotForex Rating
FXCM Rating
XM Rating
Tickmill Rating
Larson&Holz IT Ltd Rating
FBS Rating

Empire Option Rating
OptionRally Rating
TopOption Rating
24option Rating
TropicalTrade Rating
OptionFair Rating