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• Rouble is losing positions again in pairing with USD and EUR [11/10/2011]
• NZD: New Zealand Dollar is descending [11/10/2011]
• AUD: sales of Australian Dollar do not subside [11/10/2011]
• JPY: Japanese Yen remains in the narrow trade range [11/10/2011]

AUD: Australian Dollar makes another attempt of correction

At the Forex currency market the Australian Dollar rate is making another attempt to of technical correction on the first trading week of January, still being in the local highs.

Forex forecast: MACD indicator is in the positive area for the pair and continues to grow, confirming a previous buy signal for the pair. Stochastic oscillator remains in the overbought zone today

Forex recommendations: off the market.

Feasible event scenario at Forex: in case of breakdown at the level of 1.0185 the pair will go to 1.0160 and 1.0145. If the level of 1.0200 is broken down, buyers’ targets will be at the levels of 1.0220 and 1.0245.

In general the situation in Australian economy remains unchanged at the beginning of January.

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.

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.

The RBA meetings in 2011 are scheduled for: 31 January, 28 February, 4 April, 2 may, 6 June, 4 July, 1 August, 5 September, 3 October, 31 October, 5 December.