2 Sep 2013
AUD/NZD keeps constructive bias, holding above 1.15
FXstreet.com (Athens) - The AUD/NZD is trading barely unchanged along the Asian’s trading weekly session opening, with the pair displaying an indecisive behavior, confined in a 50-pips range between 1.1491 and 1.1542.
Will the AUD/NZD be influenced by the tensions in Syria or the economic slowdown in Australia?
Earlier on the day, New Zealand published a more-than-satisfactory BNZ confidence survey read-out, which came at 56.9, nearing a historic high of 58.5 set last month.
Traders might find of more importance, the fact that the solid data from New Zealand, come up simultaneously with the Syria’s jitters, the milk scare, the recent emerging market ructions, as well as the tensions in Syria and the economic slowdown in Australia. This might be a signal that the New Zealand economy overcame successfully the global turmoil, or at least there has been no serious dent to confidence.
On the other side, China's PMI hit a 16-month high over the weekend, but analysts at UBS still suggest that "a weaker ‘Aussie’ is needed to facilitate domestic economic rebalancing", also stressing the monumental week of first-tier releases affecting the value of the $A, noting "the currency must run the gauntlet between monthly and quarterly domestic economic reports, an RBA policy decision, China PMIs, and a US payrolls report."
Earlier, the trend estimate for total dwellings approved rose 0.9% in July and has risen for five months. The seasonally adjusted estimate for total dwellings approved rose 10.8% in July after falling for two months. Last but not least, the Australian Federal Election on Sep 7 is looming, which might influence the pair.
Technical Outlook on AUD/NZD
At the time of writing, the pair is trading at 1.1507, down 0.09%. The FXstreet.com Trend Index shows the pair to be slightly bearish. According to UBS Strategic Analyst, Gareth Berry “So the weekend China PMI aside, the Australian dollar is still a sell on rallies in our view’’. Daily pivot point support and resistance can be found at S3: 1.1497 S2: 1.1469 S1: 1.1440 R1:1.1551 R2:1.1579 R3:1.1608
Will the AUD/NZD be influenced by the tensions in Syria or the economic slowdown in Australia?
Earlier on the day, New Zealand published a more-than-satisfactory BNZ confidence survey read-out, which came at 56.9, nearing a historic high of 58.5 set last month.
Traders might find of more importance, the fact that the solid data from New Zealand, come up simultaneously with the Syria’s jitters, the milk scare, the recent emerging market ructions, as well as the tensions in Syria and the economic slowdown in Australia. This might be a signal that the New Zealand economy overcame successfully the global turmoil, or at least there has been no serious dent to confidence.
On the other side, China's PMI hit a 16-month high over the weekend, but analysts at UBS still suggest that "a weaker ‘Aussie’ is needed to facilitate domestic economic rebalancing", also stressing the monumental week of first-tier releases affecting the value of the $A, noting "the currency must run the gauntlet between monthly and quarterly domestic economic reports, an RBA policy decision, China PMIs, and a US payrolls report."
Earlier, the trend estimate for total dwellings approved rose 0.9% in July and has risen for five months. The seasonally adjusted estimate for total dwellings approved rose 10.8% in July after falling for two months. Last but not least, the Australian Federal Election on Sep 7 is looming, which might influence the pair.
Technical Outlook on AUD/NZD
At the time of writing, the pair is trading at 1.1507, down 0.09%. The FXstreet.com Trend Index shows the pair to be slightly bearish. According to UBS Strategic Analyst, Gareth Berry “So the weekend China PMI aside, the Australian dollar is still a sell on rallies in our view’’. Daily pivot point support and resistance can be found at S3: 1.1497 S2: 1.1469 S1: 1.1440 R1:1.1551 R2:1.1579 R3:1.1608