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At the Forex currency market the Australian Dollar rate is traded upward on Wednesday , in response to increasing appetite to risk in the market.

Forex forecast: MACD indicator for the pair AUD/USD is in the positive area, volumes are high; however, the indicator started to descend and is shaping a sell signal. Stochastic Oscillator reversed in the neutral zone and is giving a buy signal.

Forex recommendations: off the market.

Feasible event scenario at Forex: in case of breakdown at the level of 1.0740, the pair will go to 1.0750 and 1.0760. If sellers come back, the pair will tend to go down to 1.0660.

Interest in risk was triggered by China which declared that it is willing to help Europe overcome debt crisis. Statistics was also positive for the AUD. Consumer confidence index Westpac in Australia rose to 101.1 points in February against the level of 97.1 points in January. This is a good signal.

Statistics released earlier showed that lending in the housing sector of Australia rose by 2.4% in December against the forecast of growth of 1.8%. Statistics supported the currency.

Inflation in the country showed zero growth in Q4 against the forecast of growth of 0.4% on quarterly basis. Consumer sentiment index Westpac-MI fell to 94.7 points, -8.3% m/m in December against the value of 103.4 points in November. Retail sales fell by 0.1% m/m in December against the forecast of growth by 0.2%. According to statistics released earlier, activity index in the manufacturing sector rose by 1.4% in January, up to 51.6 points, as per AI GROUP estimates. Aggregate activity index Aig in the service sector increased to 51.9 points in January (+2.9 points) against growth of 1.3 points a month earlier. The index has been growing for the third month in a row, while major growth in activity is associated with households. Nevertheless, AiG noted in the comments, that revival in the index is evident only in three out of nine components.

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