23 Oct 2013
Australian CPI next: Impact on the AUD/USD
FXstreet.com (Barcelona) - AUD/USD is consolidating gains around 0.97 after being bid to the boots on a downbeat NFP.
Ahead of the Australian CPI, ANZ and Westpac Economists are projecting a slightly higher-than-expected print (+1.0% q/q) as opposed to 0.8%.
If that is the case, we should see the AUD/USD finding some decent bids for a potential retest of 0.9725. Note that above this level, ans while still potentially enjoying another 50/60 pips run, the pair should be confronted by stronger selling interest.
As JP Morgan notes: "The area 0.9665/0.9765 represents the June peak, the 50% retracement from April and the 200-day moving average and should be where some pause develops."
On the downside, any lower-than-consensus number QoQ should see an initial retracement towards 0.9680, where the last broken-resistance-turned support resides, ahead of deeper falls at 0.9650 (20-ema h4).
Ahead of the Australian CPI, ANZ and Westpac Economists are projecting a slightly higher-than-expected print (+1.0% q/q) as opposed to 0.8%.
If that is the case, we should see the AUD/USD finding some decent bids for a potential retest of 0.9725. Note that above this level, ans while still potentially enjoying another 50/60 pips run, the pair should be confronted by stronger selling interest.
As JP Morgan notes: "The area 0.9665/0.9765 represents the June peak, the 50% retracement from April and the 200-day moving average and should be where some pause develops."
On the downside, any lower-than-consensus number QoQ should see an initial retracement towards 0.9680, where the last broken-resistance-turned support resides, ahead of deeper falls at 0.9650 (20-ema h4).