AUDUSD, “Australian Dollar vs US Dollar”

AUDUSD is trading at 0.6849; the instrument is moving above Ichimoku Cloud, thus indicating an ascending tendency. The markets could indicate that the price may test the cloud’s downside border at 0.6840 and then resume moving upwards to reach 0.6920. Another signal to confirm further ascending movement is the price’s rebounding from the support level. However, the scenario that implies further growth may be canceled if the price breaks the cloud’s downside border and fixes below 0.6795. In this case, the pair may continue falling towards 0.6695.

NZDUSD, “New Zealand Dollar vs US Dollar”

NZDUSD is trading at 0.6563; the instrument is moving above Ichimoku Cloud, thus indicating an ascending tendency. The markets could indicate that the price may test the cloud’s upside border at 0.6555 and then resume moving upwards to reach 0.6705. Another signal to confirm further ascending movement is the price’s rebounding from the support level. However, the scenario that implies further growth may be canceled if the price breaks the cloud’s downside border and fixes below 0.6490. In this case, the pair may continue falling towards 0.6395.

USDCAD, “US Dollar vs Canadian Dollar”

USDCAD is trading at 1.3163; the instrument is moving below Ichimoku Cloud, thus indicating a descending tendency. The markets could indicate that the price may test the cloud’s downside border at 1.3185 and then resume moving downwards to reach 1.3035. Another signal to confirm further descending movement is the price’s rebounding from the descending channel’s upside border. However, the scenario that implies further decline may be canceled if the price breaks the cloud’s upside border and fixes above 1.3245. In this case, the pair may continue growing towards 1.3335.

On Wednesday morning, AUDUSD is still retreating; investors are in favor of the American currency.

The Australian Dollar is falling against the USD in the middle of the week. The current quote for the instrument is 0.6844.

Yesterday, the Reserve Bank of Australia released its December Meeting Minutes. Policymakers came up with an opinion that it would be reasonable to review their economic outlook as early as during the regulator’s meeting in February 2020. The RBA has opportunities to use the necessary tools to give a boost to the country’s economy in case the labor market parameters get worse, but there is no need to do it so far. Apparently, this refers to the interest rate revision. According to the regulator, one should expect an extended period of low interest rates due to both global and domestic factors.

The RBA is a bit concerned about the slow growth rate of household incomes. However, if we take a look at rather cautious numbers in employment, we can see that there is no stress here, it’s just a low-key tendency.

As for the economic outlook, consumers remain very careful and cautious: economic issues are covered in the media in a quite “gloomy” way. However, people’s attitude to their own finance is pretty smooth, and that’s a good thing.

Overall, everything that was in the report was quite expected, because the key thing is that the RBA is ready to cut the rate if necessary. Probably, the conditions for that may appear at the end of the first quarter of 2020.