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At the Forex currency market the Australian Dollar rate is traded downward on Tuesday, continuing to feel impact from the sellers.

Forex forecast: MACD indicator for the pair AUD/USD goes down in the negative area after breaking through the signal line from top to bottom and is giving a sell signal. Stochastic Oscillator is changing direction again, going down and is giving a sell signal.

Forex recommendations: in case of breakdown at the level of 1.0180, the pair will go to 1.0160 and 1.0145. If downward breakdown does not take place, the pair will consolidate at the current levels.

As we expected aggressive sellers have come back in the pair. Minutes of the last meeting of the Reserve Bank of Australia which was made public this morning says that current levels of the rates correspond to the existing situation, while medium term outlooks for economic growth continue to be optimistic. Companies are ready to hire employees and it is a positive factor, however expensive AUD has forced them to review their business strategies and plans. 

The minutes look weird, considering that Australian economy suffers huge losses now due to the decrease in exports levels and particularly for coal. New Australian statistics has not been released so far; therefore trades for the pair are guided by external environment which is getting more complicated every day. It became known earlier that consumer inflation expectations in Australia rose to 2.8% in September, as per estimates of Melbourne Institute against provisional estimate of 2.7%.

This data is of general nature and the AUD did not respond to it; however it is obvious that inflationary pressure will continue to grow. The data released earlier showed that consumer confidence Westpac in Australia rose by 8.1% m/m in September, reaching the level of 96.9 points. Statistics released earlier showed that index of business conditions NAB in Australia fell by 3 points in August against the level of -1 point in July. The index declined to the lows since April 2009, indicating slump in the sentiments and prospects.

National Australian Bank Ltd, noted commenting this outcome that it reflects increased level of uneasiness and concern that debt crisis will spread further. According to the data released earlier trade balance in Australia was at the level of +A$1.83 billion in July against the forecast of +A$1.9 billion, which is slightly better than the data in June, however weaker than predicted. Obviously, external background puts pressure on the economy of the Green Continent.

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