The Australian Dollar rate continues to grow at the Forex currency market today; following a slight pullback yesterday which was a part of technical correction, the AUD tends to consolidate again.
Forex forecat: MACD indicator for the pair AUD/USD is in the positive area and is going up, confirming a pair buy signal. Stochastic Oscillator remains in the overbought zone on Friday and has not formed a signal.
Forex recommendations: considering low trading volumes and bullish sentiments of investors, buyers’ targets today will be the levels of 1.0195 and 1.0210.
Situation in Australian economy remains unchanged.
The minutes of the RBA meeting of 7 December which was made public last week, showed that the rate was left unchanged, since the regulator believes that current situation can be described as moderately restrictive, because consumers are cautious, while inflation pressure does not intensify. The interest rate in Australia is now at the level of 4.75% per annum. The document reported that households might continue to rein in spending and in this case it will lead to the short term rise in inflation and also to the lack of aggregate demand in economy.
Statistics released earlier showed that GDP in Australia increased by 0.2% on quarterly basis in QIII; while analytics had expected the rise by 0.5%; the growth over last quarter positioned as the lowest over the last two years, therefore GDP dynamics seems to be descending. It became known earlier that retail sales in October amounted to-1.1% m/m against +0.1% in September and trade balance surplus in October was $2.625 billion. It also became known earlier that current account balance amounted to -?$7.83 billion in QIII against the forecast of -?$6.60 billion.
It is possible that when investors will resume trading in January the AUD will be corrected downward; it will be only technical correction as yet.