AUD: Australian Dollar fell to two-week lows
At the Forex currency market the Australian Dollar rate continues to weaken today and has already reached two-week lows under the pressure of investors’ withdrawal from risk. Position of the Reserve Bank of Australia is an additional factor of decline.
Forex forecast: MACD indicator is in the positive area for the pair AUD/USD, however it is shifting to the movement along the signal line, thus, preventing a clear signal. Stochastic Oscillator has gone to the overbought zone today and continues to give a pair sell signal.
Forex recommendations: if current bearish sentiment maintains, traders’ targets today will be the levels of 0.9910 and 0.9850.
The head of the Reserve Bank of Australia Glenn Stevens noted today that he expects stabilization of the national economy, due to which, interest rate will remain unchanged for some time. He also said that economic growth of the Australian economy can be higher, that the forecast, despite negative impact of the natural disaster, that befell on the country at the beginning of the year.
Stevens believes in the support from strong economies of India, China, the USA, and risks – from the European economies.
According to HSBC observers, speech of the RBA head did not break new ground to the market: Central Bank is satisfied with the pace of economy and mining sector seems to be a driver for the recovery. It is not excluded that discussions about the rate increase will start as soon as the regulator gets familiarized with the CPI index for the QI.
Statistics released yesterday showed that employment rate in Australia increased by 24 thousand, to the level of 11.44 million in January, which was above the forecast of the economists, who expected the rise by 15 thousand.
In addition, unemployment rate remained at the previous level of 5.0%.
A number of part-time jobs increased in January (+32 thousand against preliminary value of +0.6 thousand)
Therefore, despite natural disasters that befell on the Green Continent at the beginning of the year, one of the major guarantors of economic recovery, employment sector, remains stable.
