Australia has been prone to the risk averse because of the strong natural resource & gold mining country. While the housing data has been crucial indicator on the Australian Economy is going to perform.
The AUD has been performing mildly while in the ASIAN session the currency pair ‘AUD/USD’ seems to be trading at 0.7235 which has significantly failed to hold the position while on yesterday session there was a major gain. On the Aussie September month, there was a huge tirade on how USD has better the estimate MoM (month-on-month) term that has annualized the term.
While this mix data has actually shown a major risk-off in the certain position that has offset the Asian equity market. It offers the investor with a little bit that need to be hold in AUD. If you are Currency Trading the AUD/USD seems to be at 0.7156 level which around 0.21% level down on the intraday while yesterday it has a positive 5’day level mark.
On a September month, Australia building permit has actually came down at 3.3% high beating the Reuters estimate of around 4% that has significantly been down from the previous month of more than -9.4% . Due to fata there is another rop on nearly 5%. While there has been a significant building approval which has actually felt around 13.7% drop. On an annualized drop there has been likely overshadow in MoM reading, thus capping the AUD upside down.
On further side, the Asian Stocks have been on the bearish mode which has a drop of more than 245 Drop in certain Dow Jones Industrial Average (DJIA) at the overnight trade position. While there has been risk aversion that has boosted the demand with the treasuries that has kept the greenback with a better bid.
On a technical front, there has been major move of 0.760 which is needed to have a bearish cum bullish trend.
Technical Levels:
| Resistance | Support |
| 0.7109 (previous day’s high) | 0.7021 (Friday Low) |
| 0.7160 (Oct. 17 high) | 0.70 (physiological support) |
| 0.7172 (50-day exponential moving average) | 0.6975 (low) |
Analyst view: Bearish