AUD: Growth of Australian Dollar has slowed down on Monday

At the Forex currency market the Australian Dollar rate has slowed down its growth on Monday, determining direction for further movement.

Forex forecast: MACD indicator is in the positive area for the pair AUD/USD and is moving along the signal line, not giving a clear signal. Stochastic Oscillator has come into overbought zone today, and keeps giving a buy signal.

Forex recommendations: off the market.

Feasible event scenario at Forex: in case of breakdown at the level of 1.0200 the pair will go to 1.0240 and 1.0280. If the level of 1.0150 is exceeded, traders’ targets will be the levels of 1.0080 and 1.0050.

It became known this morning that level of total lending in Australia increased in January by 3.3% per annum, as per estimates of the Reserve bank of Australia, against expectations of the rise by 3.2%.

At the same time, lending in the private sector increased by 0.3% m/m last month (preliminary level was +0.2%).

Earlier the head of the Reserve Bank of Australia Glenn Stevens noted that he expected stabilization of   national economy, and consequently, interest rate would remain unchanged for some time. He also said that economic growth of Australian economy could be better, than the forecast despite negative impact of the natural disaster that befell the country at the beginning of the year.  At the same time Stevens believes in the support from strong economies of India, China, the USA, and risks – from the European economies.

It became known earlier that level of capital expenditure in private sector of Australia increased by 1.3% on quarterly basis in QIV last year, reaching the level of A$29.691 billion. Thus, in accordance with the forecast, total index of capital expenditures will be at the level of A$128.93 billion in 2010-2011.

The data on the level of business confidence NAB in Australia presented earlier showed the decline in the index by 5 points in QIV against the level of 9 points earlier. However the pressure from external background is nevertheless stronger and the currency had been sold due to investors’ withdrawal from risks.

Tomorrow, on Tuesday, data on Australian retail sales in January will be made public; in the middle of the week, GDP level in Australia in QIV is going to be released; data on trade balance will become known on 3 March.

 

 

[More]