Daily Price Outlook

The Australian Dollar exhibits a tentative stance against the U.S. Dollar, trading narrowly around $0.6373 as market participants weigh global economic cues. The AUD/USD pair's cautious movement is mirrored by its proximity to the 50-day Exponential Moving Average (EMA) at $0.63943, suggesting a pivotal juncture that could prompt a directional breakout.

From a technical viewpoint, the Relative Strength Index (RSI) sits at 36.94, bordering the oversold territory, which may indicate a potential for upside correction if the market sentiment shifts. Key resistance levels are mapped out at $0.6439 and $0.64705, with each acting as a gatekeeper to further bullish advances, potentially up to the $0.65208 mark.

Conversely, immediate support lingers at $0.63159, and if breached, the Aussie may witness a slide towards $0.62864, with a firmer base at $0.62684. The currency's short-term outlook hinges on the impending economic reports, particularly the U.S. Consumer Price Index (CPI), which holds the capacity to sway the interest rate trajectory and thus influence the AUD/USD trend.

In summary, the AUD/USD's trajectory is delicately balanced, with traders keenly awaiting economic indicators to provide clear directional impetus. The anticipation surrounding the U.S. CPI data underscores the fragile state of the current forex landscape, where pivotal reports can have an amplified impact on currency valuations.

AUD/USD - Trade Idea 

Entry Price – Sell Below 0.63894

Take Profit – 0.63150

Stop Loss – 0.64369

Risk to Reward – 1: 1.5

Profit & Loss Per Standard Lot = +$744/ -$475

Profit & Loss Per Mini Lot = +$74/ -$47

Daily Price Outlook

During the early European trading on Tuesday, the AUD/USD currency pair failed to stop its downward rally and lost some of its traction around 0.6375, marking a 0.07% decrease for the day. Traders seems cautious to place any strong position as they await the release of the US Consumer Price Index (CPI) later today, providing insights into whether inflation is nearing the targeted 2%.

Nevertheless, the downward trend in the AUD/USD pair could be short-lived as the bearish US dollar may help the AUD/USD pair to limit its deeper losses. Notably, the US Dollar Index (DXY), which gauges the USD's value against other currencies, is losing its traction and currently stands at 105.65. However, the bearish trend in the US dollar was driven by the declines in the US Treasury bond yields, with the 10-year yield at 4.63% and the 2-year yield at 5.03%.

Key Economic Indicators and Fiscal Update in the US

It's worth noting that the New York Fed's survey on consumer expectations revealed a slight easing in the 1-year and 5-year inflation outlooks, settling at 3.57% and 2.72%, respectively. In October, the US government reported a $66 billion budget deficit, an improvement from the $87 billion deficit last year. Tuesday's focus will be on US inflation data, with the Consumer Price Index (CPI) expected to grow by 0.1%. Core inflation is estimated to stay at 4.1%. These numbers might influence the Federal Reserve's decision on additional tightening, aligning with the data-backed views of the Federal Open Market Committee (FOMC).

Therefore, the AUD/USD pair may rebound due to a slight easing in US inflation expectations and a lower budget deficit, alleviating pressure on the US dollar and favoring the Australian dollar.

Economic Insights and Upcoming Events in Australia and the US

Moreover, Reserve Bank of Australia (RBA) Assistant Governor Marion Kohler mentioned that the decrease in inflation is expected to happen more gradually than initially anticipated. This is attributed to the ongoing strong domestic demand and persistent pressures on labor and other costs. Kohler emphasized the need for a more restrictive policy to address high inflation. The market is predicting that the RBA will likely raise interest rates again in the first half of next year in response to these economic conditions.

Moving forward, market investors will closely monitor Australia's Westpac Consumer Confidence and the National Australia Bank's Business surveys. Meanwhile, the US Consumer Price Index (CPI) data is scheduled for Tuesday. Looking further into the week, the Australian Q3 Wage Price Index is set for Wednesday, followed by the Australian employment report on Thursday.

AUD/USD - Technical Analysis

The Australian Dollar exhibits a tentative stance against the U.S. Dollar, trading narrowly around $0.6373 as market participants weigh global economic cues. The AUD/USD pair's cautious movement is mirrored by its proximity to the 50-day Exponential Moving Average (EMA) at $0.63943, suggesting a pivotal juncture that could prompt a directional breakout.

From a technical viewpoint, the Relative Strength Index (RSI) sits at 36.94, bordering the oversold territory, which may indicate a potential for upside correction if the market sentiment shifts. Key resistance levels are mapped out at $0.6439 and $0.64705, with each acting as a gatekeeper to further bullish advances, potentially up to the $0.65208 mark.

Conversely, immediate support lingers at $0.63159, and if breached, the Aussie may witness a slide towards $0.62864, with a firmer base at $0.62684. The currency's short-term outlook hinges on the impending economic reports, particularly the U.S. Consumer Price Index (CPI), which holds the capacity to sway the interest rate trajectory and thus influence the AUD/USD trend.

In summary, the AUD/USD's trajectory is delicately balanced, with traders keenly awaiting economic indicators to provide clear directional impetus. The anticipation surrounding the U.S. CPI data underscores the fragile state of the current forex landscape, where pivotal reports can have an amplified impact on currency valuations.

Related News

Daily Price Outlook

Despite the dovish rate statement from the Reserve Bank of Australia (RBA), the AUD/USD currency pair managed to break a three-day declining streak and gained some positive momentum around above 0.6400 level. However, the reason for its upward trend can be attributed to the weaker US Dollar, which is possibly a result of the sluggish performance of US Treasury yields.

On the flip side, the Reserve Bank of Australia (RBA) issued a dovish statement regarding interest rates, which was seen as a key factor that limits further gains in the AUD/USD pair. Furthermore, the decrease in China's Consumer Price Index (CPI) by 0.2%, compared to the expected decline of 0.1%, also had a strong negative impact on the AUD/USD pair.

RBA's Interest Rate Decision and Australian Economic Indicators

It's worth noting that the Reserve Bank of Australia recently raised its Official Cash Rate from 4.10% to 4.35%, the highest in 12 years, due to a higher-than-expected inflation rate of 5.6% in the September Consumer Price Index. Meanwhile, Australia's TD Securities Inflation dipped to 5.1% in September. On a positive note, Retail Sales grew by 0.2% in the third quarter, bouncing back from a 0.6% decline in the previous quarter.

Meanwhile, economists at the National Australia Bank (NAB) are anticipating another 0.25% interest rate increase in February, with no rate cuts expected until November 2024, based on fourth-quarter inflation data. Hence, the increase in the Official Cash Rate and strong inflation data will likely strengthen the Australian Dollar and contributes to the AUD/USD pair gains.

China's Inflation Decline and Its Potential Impact on AUD/USD Pair

Furthermore, the most recent inflation figures from China disclosed a yearly decline in October that exceeded expectations. It should be noted that the Consumer Price Index (CPI) indicated a 0.2% annual drop, surpassing the anticipated 0.1% decrease. Moreover, the monthly CPI contracted by 0.1%, in contrast to the previous 0.2% growth.

Pan Gongsheng, the Governor of the People's Bank of China (PBOC), has conveyed his confidence in the economy by stating that it is following a positive trajectory. He also mentioned the country's potential to achieve the 5% growth target. Despite the decrease in inflation, his remarks reflect optimism regarding the economic direction of China.

Therefore, the decrease in China's inflation will result in a weakening of the Australian dollar (AUD) against the US dollar (USD). This is due to the potential decrease in demand for Australian exports to China, which could have a negative impact on the AUD/USD pair.

AUD/USD - Technical Analysis

The Australian dollar has manifested a modest uptick against its US counterpart in the latest session, advancing by 0.18% to trade at 0.64136. The four-hour chart delineates a landscape of fluctuation where the AUD/USD has been testing the waters around a pivot point of 0.6453, indicating a tentative search for direction.

Key resistance levels await at 0.6583, 0.6652, and 0.6790, which may pose formidable barriers to any northbound aspirations. Meanwhile, the currency pair finds its immediate cushion at 0.6379, with further downside protection potentially emerging at 0.6243 and 0.6177. These levels delineate the zones of contention between the bulls and the bears, setting the stage for the pair's next significant move.

From the vantage point of technical indicators, the Relative Strength Index (RSI) reads at 43, signaling that while the sentiment isn’t overly bearish, it lacks the robust bullish momentum typically associated with readings above 50. The Moving Average Convergence Divergence (MACD) hovers around the baseline, suggesting a market in balance without clear direction.

The price's proximity to the 50-day Exponential Moving Average (EMA), currently at 0.642, indicates a delicate equilibrium. The AUD/USD sits just below this moving average, hinting at a potential shift in momentum should it decisively cross above this level.

Chart pattern analysis requires a scrupulous examination of the recent price formation, which may reveal structures like channels or triangles, providing additional clues. Such patterns, coupled with candlestick analysis, will help ascertain the market's mood and the likely trajectory of the currency pair.

In summary, while the trend for the AUD/USD pair could be deemed neutral, a bullish bias is justifiable above the 0.640 44 mark, pending a confirmed breakout. The short-term forecast suggests that a test of the immediate resistance level at 0.6583 could be on the horizon, should the pair garner enough upward momentum to eclipse the immediate technical thresholds.

Related News

Daily Price Outlook

The Australian dollar has manifested a modest uptick against its US counterpart in the latest session, advancing by 0.18% to trade at 0.64136. The four-hour chart delineates a landscape of fluctuation where the AUD/USD has been testing the waters around a pivot point of 0.6453, indicating a tentative search for direction.

Key resistance levels await at 0.6583, 0.6652, and 0.6790, which may pose formidable barriers to any northbound aspirations. Meanwhile, the currency pair finds its immediate cushion at 0.6379, with further downside protection potentially emerging at 0.6243 and 0.6177. These levels delineate the zones of contention between the bulls and the bears, setting the stage for the pair's next significant move.

From the vantage point of technical indicators, the Relative Strength Index (RSI) reads at 43, signaling that while the sentiment isn’t overly bearish, it lacks the robust bullish momentum typically associated with readings above 50. The Moving Average Convergence Divergence (MACD) hovers around the baseline, suggesting a market in balance without clear direction.

The price's proximity to the 50-day Exponential Moving Average (EMA), currently at 0.642, indicates a delicate equilibrium. The AUD/USD sits just below this moving average, hinting at a potential shift in momentum should it decisively cross above this level.

Chart pattern analysis requires a scrupulous examination of the recent price formation, which may reveal structures like channels or triangles, providing additional clues. Such patterns, coupled with candlestick analysis, will help ascertain the market's mood and the likely trajectory of the currency pair.

In summary, while the trend for the AUD/USD pair could be deemed neutral, a bullish bias is justifiable above the 0.640 44 mark, pending a confirmed breakout. The short-term forecast suggests that a test of the immediate resistance level at 0.6583 could be on the horizon, should the pair garner enough upward momentum to eclipse the immediate technical thresholds.

AUD/USD - Trade Idea 

Entry Price – Buy Above 0.64025

Take Profit – 0.64661

Stop Loss – 0.63627

Risk to Reward – 1: 1.6

Profit & Loss Per Standard Lot = +$636/ -$398

Profit & Loss Per Mini Lot = +$63/ -$39

Daily Price Outlook

In the currency markets, the Australian dollar (AUD) against the US dollar (USD) presents an intriguing technical outlook as of November 7. Over the last 24 hours, the AUD/USD pair has seen a decrease of 0.85%, landing at a current price of 0.6433. The four-hour chart provides a granular view of the price action, with a pivot point marked at 0.6449, indicating a potential inflection point for the pair.

Key resistance and support levels frame the current landscape, with immediate resistance at 0.6582. Further ceilings are found at 0.6652 and 0.6786, which could cap upward movements. Conversely, support is firmly established at 0.6379, with additional floors at 0.6245 and 0.6175, likely to halt any southward price drifts.

From a technical indicator standpoint, the Relative Strength Index (RSI) sits at 46, just below the midpoint of 50, suggesting a tilt towards bearish sentiment without yet entering an oversold territory. The Moving Average Convergence Divergence (MACD) corroborates this bearishness, currently indicating a negative trend as the MACD line resides below the signal line.

The 50-Day Exponential Moving Average (EMA) provides further insight, with the current price above the 50 EMA at 0.6416, giving a glimmer of bullish sentiment in the short-term trend landscape.

Chart pattern analysis augments the price level data and technical indicators. The current pattern, which can be likened to a consolidation phase, indicates potential for either continuation or reversal. Candlestick analysis in the recent sessions would be necessary for additional confirmation.

In conclusion, the overall trend for AUD/USD could be considered bullish if the pair maintains above the crucial 0.6416 level, as indicated by the 50 EMA. The mixed signals from technical indicators suggest a cautious approach. Traders should watch for a decisive break above the 50 EMA and an RSI push above the 50 level to confirm the bullish scenario. The short-term forecast, given the current setup, anticipates the pair may test the immediate resistance level at 0.6582 in the upcoming sessions, should the bullish indicators align.

AUD/USD - Trade Idea 

Entry Price – Buy Above 0.64148

Take Profit – 0.64700

Stop Loss – 0.63664

Risk to Reward – 1: 14

Profit & Loss Per Standard Lot = +$552/ -$484

Profit & Loss Per Mini Lot = +$55/ -$48

Daily Price Outlook

During the European trading session, the USD/CAD pair continued its upward movement and surged above the 1.3700 mark. However the reason for its upward rally can be attributed to the several factors, including weakening of crude oil prices, which negatively impacted the Canadian dollar (also known as the Loonie) and provided strength to the USD/CAD pair. Meanwhile, this upward trend marked the second consecutive day of gains for the USD/CAD pair, with the ongoing recovery of the US dollar serving as a significant driving force.

In contrast to this, the prospect of the Federal Reserve refraining from further interest rate hikes could potentially hinder the US dollar's ability to gain more strength against other currencies, including the Canadian dollar. Hence, this belief may act as a limiting factor for further upward movement in the USD/CAD pair in the near future.

Impact of Weak Crude Oil Prices and USD Resurgence on USD/CAD Pair

It's noteworthy to mention that Crude Oil prices have dipped to a two-month low, recorded last Friday, owing to the uncertain economic climate, potentially decreasing the demand for fuel. This circumstance has impacted the Canadian dollar due to its close ties to commodity prices. Furthermore, the US Dollar is staging a comeback after hitting its lowest point since September 20 just the day before. These two factors, the weakened Crude Oil prices and the resurgence of the US Dollar, are significantly bolstering the USD/CAD currency pair.

US Jobs Report and Fed Uncertainty Impacting USD/CAD

In the meantime, the recent disappointing US jobs report implies that the Federal Reserve (Fed) is likely to maintain its current stance for the third consecutive meeting in December. Nevertheless, remarks from Fed officials made overnight have injected uncertainty regarding the central bank's future policy decisions, contributing to some additional short-term buying of the US Dollar (USD).

However, there is a general investor sentiment that the Fed is unlikely to implement any more rate hikes. This sentiment is reinforced by the recent decline in US Treasury bond yields, which could potentially constrain additional advances for both the USD and the USD/CAD pair. Traders may be awaiting speeches from influential FOMC members, including Fed Chair Jerome Powell, to gain a clearer understanding of the future trajectory of interest rate adjustments.

USD/CAD - Technical Analysis

The USD/CAD pair has seen a slight uptick in the forex market, with a 0.15% increase over the past 24 hours, currently standing at 1.37209. In the 4-hour chart, the currency pair finds itself in a delicate equilibrium, with technical indicators providing a nuanced picture for traders.

At the forefront of this technical analysis is the pair's pivot point at 1.3736, which serves as a fulcrum for the day's price action. The loonie faces immediate resistance at 1.3818, with subsequent barriers at 1.3983 and 1.4065 that could cap upward movements. On the flip side, supports are layered at 1.3572, 1.3490, and further down at 1.3328, providing multiple levels for potential retracements.

The Relative Strength Index (RSI) sits at 46, slightly skewed towards bearish territory but not yet signaling oversold conditions that would typically precipitate a rebound. The MACD indicator's current reading shows a nascent bullish crossover, albeit with modest momentum, as the MACD line tiptoes above the signal line.

The 50-day Exponential Moving Average (EMA) at 1.3754 currently resides above the pair's price, suggesting short-term bearish pressure. However, this indicator is closely aligned with the current price, indicating that the sentiment could easily flip should the pair push higher.

Chart patterns do not present a clear directional bias at the moment, with candlestick formations suggesting a period of consolidation. No definitive chart pattern emerges from the current setup, indicating that traders may be awaiting further cues before committing to a direction.

In summary, the technical outlook for USD/CAD on November 7 is cautiously bearish below the 1.3750 mark, with a close above this level potentially altering the near-term sentiment to bullish.

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Daily Price Outlook

Despite a 25-basis-point interest rate hike by the Reserve Bank of Australia (RBA) on Tuesday, the AUD/USD currency pair failed to maintain its upward trend and experienced losses due to the strong performance of US Treasury yields. This rebound in US Treasury yields supported the US Dollar, helping it recover from its two-month low, which, in turn, contributed to the AUD/USD pair's decline.

Meanwhile, China's Trade Balance data for October revealed a decrease in the surplus balance, totaling $56.53 billion, in contrast to market expectations of an improvement to $81.95 billion from the previous reading of $77.71 billion. Notably, Exports (YoY) saw a more substantial decline of 6.4%, surpassing the expected decrease of 3.1%. As a result, the disappointing China Trade Balance data has the potential to weaken the Australian Dollar (AUD) against the US Dollar (USD).

Australia's Central Bank Raises Interest Rates and Adopts a Cautious Approach

It's important to note that Australia's central bank has resumed raising interest rates. They increased the Official Cash Rate (OCR) from 4.10% to 4.35% after maintaining it at the same level for four consecutive meetings. This decision follows recent data, such as the Consumer Price Index (CPI) for the third quarter, which indicated a greater increase than anticipated. Further, Australia's Retail Sales for September outperformed expectations.

The RBA is currently adopting a cautious approach. They are looking for additional evidence of increasing inflation before considering further rate hikes. While there is some uncertainty about the timing of potential rate increases by the RBA, their concerns regarding inflation may deter them from implementing rate cuts too soon in the coming year. In essence, the RBA is closely monitoring the data and won't hastily move towards additional rate hikes, but they are also exercising caution in avoiding premature rate cuts.

As a result, the rate hike by Australia's central bank has provided support to the Australian Dollar (AUD), but the cautious approach may restrict the extent of its gains against the US Dollar (USD).

Weakened US Economic Data and Its Potential Impact on the AUD/USD Pair

Moreover, the US Bureau of Labor Statistics has recently released some crucial economic data. The Non-Farm Payrolls (NFP) for October stood at 150K, falling short of the expected 180K and indicating a substantial drop from the previous month's 297K. The US Average Hourly Earnings (Month-on-Month) declined to 0.2%, failing to meet the anticipated 0.3%. However, on a year-over-year basis, it exceeded expectations, reaching 4.1%, which is higher than the projected 4.0%.

Furthermore, the US ISM Services Purchasing Managers' Index (PMI) declined from 53.6 to 51.8. On Thursday, the US Department of Labor reported an uptick in initial claims for unemployment benefits, rising from 212,000 to 217,000. The US Dollar Index (DXY) rebounded from a seven-week low, primarily due to improved US Treasury yields.

Hence, weak US economic data may potentially weaken the USD, favoring an upward trend for the AUD/USD pair.

AUD/USD - Technical Analysis

In the currency markets, the Australian dollar (AUD) against the US dollar (USD) presents an intriguing technical outlook as of November 7. Over the last 24 hours, the AUD/USD pair has seen a decrease of 0.85%, landing at a current price of 0.6433. The four-hour chart provides a granular view of the price action, with a pivot point marked at 0.6449, indicating a potential inflection point for the pair.

Key resistance and support levels frame the current landscape, with immediate resistance at 0.6582. Further ceilings are found at 0.6652 and 0.6786, which could cap upward movements. Conversely, support is firmly established at 0.6379, with additional floors at 0.6245 and 0.6175, likely to halt any southward price drifts.

From a technical indicator standpoint, the Relative Strength Index (RSI) sits at 46, just below the midpoint of 50, suggesting a tilt towards bearish sentiment without yet entering an oversold territory. The Moving Average Convergence Divergence (MACD) corroborates this bearishness, currently indicating a negative trend as the MACD line resides below the signal line.

The 50-Day Exponential Moving Average (EMA) provides further insight, with the current price above the 50 EMA at 0.6416, giving a glimmer of bullish sentiment in the short-term trend landscape.

Chart pattern analysis augments the price level data and technical indicators. The current pattern, which can be likened to a consolidation phase, indicates potential for either continuation or reversal. Candlestick analysis in the recent sessions would be necessary for additional confirmation.

In conclusion, the overall trend for AUD/USD could be considered bullish if the pair maintains above the crucial 0.6416 level, as indicated by the 50 EMA. The mixed signals from technical indicators suggest a cautious approach. Traders should watch for a decisive break above the 50 EMA and an RSI push above the 50 level to confirm the bullish scenario. The short-term forecast, given the current setup, anticipates the pair may test the immediate resistance level at 0.6582 in the upcoming sessions, should the bullish indicators align.

Related News

Daily Price Outlook

The Australian Dollar, colloquially known as the "Aussie," has displayed intriguing movements against its American counterpart in recent days. As of the last measurement, the AUD/USD pair stands at 0.64251. A scrutiny of its 24-hour movement paints a picture of mild volatility, with the currency pair navigating the intricate labyrinth of global macroeconomic forces and central bank decisions.

Analyzing the 4-hour chart lends a deeper insight into the currency's short-term price trajectory. The pivot point for the currency pair is currently situated at 0.63824. On the bullish front, traders should keep an eye on the immediate resistance level of 0.64411, followed by the subsequent resistances at 0.64729 and the more ambitious 0.65109. Conversely, on the bearish spectrum, the immediate support is discerned at 0.63400, with subsequent floors established at 0.62889.

The technical indicators weave an intricate tale. The Relative Strength Index (RSI), a key momentum oscillator, stands at 54.65. Traditionally, an RSI reading above 70 is perceived as overbought territory, while anything below 30 suggests oversold conditions. Given that the current RSI value is just above the neutral 50 threshold, the sentiment leans slightly bullish for the AUD/USD pair. Additionally, the 50-Day Exponential Moving Average (EMA) stands at 0.63547. With the price currently situated above this level, it suggests a short-term bullish trend.

The chart has manifested what seems to be an ascending channel pattern. This pattern typically points to a bullish sentiment, and in this context, indicates the AUD/USD pair's consistent higher lows and higher highs.

In summation, the short-term technical landscape for the AUD/USD is cautiously bullish. Given the present technical setup and the currency's positioning above the 50 EMA, there's a possibility for the AUD/USD to test the immediate resistance of 0.64411 soon. As always, forex traders are advised to stay vigilant and monitor global economic cues that could influence currency movements.

AUD/USD - Trade Idea

Entry Price – Sell Below 0.64397

Take Profit – 0.63804

Stop Loss – 0.64798

Risk to Reward – 1: 4

Profit & Loss Per Standard Lot = +$593/ -$401

Profit & Loss Per Mini Lot = +$59/ -$40

Daily Price Outlook

During early European trading on Thursday, the AUD/USD currency pair maintained its upward momentum, remaining strongly above the 0.6400 level. However, this upward trend was fueled by the US Federal Reserve's (FOMC) decision to maintain a stable course, combined with a mix of reports concerning the US economy. This exerted downward pressure on the US dollar and contributed to the losses in the AUD/USD pair. The US Dollar Index (DXY) faced some selling pressure around 106.67, following a retreat from its weekly high of 107.11. Moreover, yields on US Treasury bonds experienced a minor decrease, with the 10-year yield hovering at 4.73%. This decline in yields may have played a role in the weakening of the US dollar.

U.S. Economic Update: FOMC Holds Rates, Mixed Data on Job Market and Manufacturing Sector

It is important to mention that the Federal Open Market Committee (FOMC) chose to maintain unchanged interest rates and uphold a cautious stance on the economy. The FOMC believes that tighter financial conditions could have an impact on the labor market and overall economic activity.

They also noted that recent increases in long-term bond rates have lessened the need for further monetary policy tightening. Currently, the market is only assigning a 22% probability of a rate hike in December, as indicated by the CME FedWatch Tool.

In terms of economic data, the ADP Private Sector Payrolls report for October revealed an increase of 113,000 jobs, which fell short of the anticipated 150,000. On a positive note, the JOLTS job openings data unexpectedly rose to 9.553 million, indicating an increase in job opportunities. However, the ISM Manufacturing PMI for October dipped to 46.7, missing the expected value of 49, and marking the lowest reading since July.

Australian Economic Outlook: RBA Rate Hike Expected with IMF Support

Furthermore, the Reserve Bank of Australia (RBA) is scheduled to announce its decision at the upcoming November meeting. There is an anticipation in the market that the central bank may raise the interest rate by 25 basis points (bps) due to the increasing inflation.

Moreover, the International Monetary Fund (IMF) recently assessed the Australian economy and found it to be robust. They noted that inflation is staying relatively high and suggested that the RBA needs to implement more policy measures to control it. In simpler terms, they believe the RBA should continue tightening policies to keep the economy on track.

AUD/USD - Technical Analysis

The Australian Dollar, colloquially known as the "Aussie," has displayed intriguing movements against its American counterpart in recent days. As of the last measurement, the AUD/USD pair stands at 0.64251. A scrutiny of its 24-hour movement paints a picture of mild volatility, with the currency pair navigating the intricate labyrinth of global macroeconomic forces and central bank decisions.

Analyzing the 4-hour chart lends a deeper insight into the currency's short-term price trajectory. The pivot point for the currency pair is currently situated at 0.63824. On the bullish front, traders should keep an eye on the immediate resistance level of 0.64411, followed by the subsequent resistances at 0.64729 and the more ambitious 0.65109. Conversely, on the bearish spectrum, the immediate support is discerned at 0.63400, with subsequent floors established at 0.62889.

The technical indicators weave an intricate tale. The Relative Strength Index (RSI), a key momentum oscillator, stands at 54.65. Traditionally, an RSI reading above 70 is perceived as overbought territory, while anything below 30 suggests oversold conditions. Given that the current RSI value is just above the neutral 50 threshold, the sentiment leans slightly bullish for the AUD/USD pair. Additionally, the 50-Day Exponential Moving Average (EMA) stands at 0.63547. With the price currently situated above this level, it suggests a short-term bullish trend.

The chart has manifested what seems to be an ascending channel pattern. This pattern typically points to a bullish sentiment, and in this context, indicates the AUD/USD pair's consistent higher lows and higher highs.

In summation, the short-term technical landscape for the AUD/USD is cautiously bullish. Given the present technical setup and the currency's positioning above the 50 EMA, there's a possibility for the AUD/USD to test the immediate resistance of 0.64411 soon. As always, forex traders are advised to stay vigilant and monitor global economic cues that could influence currency movements.

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Daily Price Outlook

The AUD/USD currency pair, as of October 31, is witnessing some turbulence, currently trading at 0.63438, a dip of 0.50% within the past 24 hours. In the intricate realm of forex, the asset's key price metrics provide a clearer understanding of its potential trajectory. Specifically, the pivot point for this pair stands firmly at $0.6334. Should the momentum lean bullish, the immediate resistance is seen at $0.6399, with further ceilings expected at $0.6465 and $0.6529. Conversely, if bears dominate, the immediate floor lies at $0.6270, with deeper supports at $0.6206 and $0.6140.

From a technical standpoint, the Relative Strength Index (RSI), a popular momentum oscillator, rests at 49. This figure, just a notch below the neutral 50 threshold, hints at a mild bearish sentiment. Meanwhile, the Moving Average Convergence Divergence (MACD), another revered momentum tracker, paints a somewhat concerning picture. The MACD line trails slightly below its signal line, signaling potential downward momentum on the horizon.

Not to be overlooked, the 50-Day Exponential Moving Average (EMA), which smoothens price data to create a single flowing line, is currently valued at $0.6343. This is nearly identical to the asset's current price, suggesting a neutral stance in the short-term trend. As of now, no distinct chart pattern has emerged, leaving traders and analysts to rely primarily on the aforementioned indicators.

In wrapping up this technical analysis, the AUD/USD showcases a neutral to mildly bearish trend. However, optimism remains. If the currency pair can hold its ground above the crucial pivot of $0.63335, it might tilt the scales towards bullishness. In the days ahead, given the asset's current position amidst its resistance and support zones, it's plausible to anticipate the AUD/USD making a move to test the resistance level at $0.6399. As always, investors are advised to keep their eyes peeled on these instrumental levels and indicators to navigate

AUD/USD - Trade Idea

Entry Price – Buy Limit 0.6336

Take Profit – 0.63903

Stop Loss – 0.63063

Risk to Reward – 1: 1.75

Profit & Loss Per Standard Lot = +$534/ -$306

Profit & Loss Per Micro Lot = +$53/ -$30