The market in brief:
Market moving events due:
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AUDUSD: Opens higher following confirmation of a more neutral stance from the RBA, as US Jobs data disappointed and as the weekends Chinese numbers were mixed. All in all there is room for a delay to a September hike from the Fed and the local currency has taken advantage. It will therefore be interesting to see what FOMC Member Lockhart says this evening as he was the one to suggest a delay last week. There is no hugely important data due this week, so we’ll look to the charts as our forecast resistance turned support held and we open higher. We do need to take out last week’s highs for further upside as support now appears to be firming.
AUDEUR: Edged slightly higher on the back of the RBA statement and as there was absolutely nothing of interest that came out of Europe. In fact we have no major EU data until tomorrow so upward move may be contained until then. On the charts we appear set for the 50% retracement of the selloff seen since April that sits 150 points above.
AUDGBP: The Pound continues to give up ground here as there was no supporting UK data to take on board and in fact is none until the mid week unemployment numbers. We have now hit the 50% retracement of the sell off that we saw from early June and suggest we sit around these levels for the next couple of days.
AUDNZD: The Tasman Cross closed the week on the up as sentiment is still very much against the Kiwi Dollar. Fridays Retail Sales are the only major NZ data to come and as they are expected to be poor, we so no reason to sway from our view of higher levels to come.
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