Asia-Pacific markets appear set for an open higher Monday as the trading week kicks off. Today doesn’t offer much in the way of event risks, with a rather sparse economic calendar. That leaves markets susceptible to prevailing risk trends from last week when a deal on the US debt ceiling spurred some risk-taking across markets. The risk-sensitive Australian Dollar is tracking cautiously higher versus the US Dollar. AUD/USD rose over half a percent last week.To get more news about redimax, you can visit wikifx.com official website.
Given the lack of economic events on today‘s docket, traders will eye upcoming events due out later this week. These include inflation data out of China, New Zealand, and the United States, UK GDP, Australian and American consumer confidence, and US retail sales. Corporate America is also set to begin another quarterly earnings season. Investors will analyze earnings reports for clues of companies’ views on the global economic outlook, and perhaps most critically, inflation.
New South Wales (NSW), Australias most populated state, will roll back some Covid-19 restrictions today, marking the first step in reopening the state following a one hundred day lockdown. The state achieved an over 70% vaccination rate. Easing travel restrictions will be the next big step, with a possible reopening slated for November.
Elsewhere, energy prices will remain in focus after surging natural gas and coal prices spurred more aggressive outlooks on global inflation. US natural gas prices hit the highest level since 2014 last week. China ordered coal-fired power plants to increase output recently to combat the enormous rise in energy prices, which has caused policymakers to clamp down on manufacturing to preserve power. Chinese energy providers will also be allowed to temporarily boost customer rates, according to Reuters news wires.
AUD/USD TECHNICAL FORECAST
AUD/USD is trading directly above its 50-day Simple Moving Average (SMA) after rising 0.69% last week. Despite last weeks strength, prices remain nearly 2% lower from the September swing high. Bulls will look to hold prices above the 50-day SMA. Otherwise, dropping below the moving average will threaten trendline support that capped prices over the past couple of weeks.
Sterling threatened a break of major support last month at the July low-day close / 2021 yearly open around 1.3625/46 before sharply reversing higher into the close of the August. The rally has extended nearly 1.7% off the lows with the recovery now approaching initial lateral resistance at 1.3837/44- a region defined by the 61.8% Fibonacci retracement of the July decline and the 100% extension of the advance off the August low. Were looking for possible price inflection here with a breach / close above the highlighted trendline confluence (~1.3880s)needed to suggest a larger trend reversal may be underway.To get more news about GBP/USD, you can visit wikifx.com official website.
A closer look at Sterling price action highlights GBP/USD rebounding of key support at 1.3625/46 with the recovery trading within the confines of an ascending channel formation. Weekly / monthly open support at 1.3752/54 with a break of the weekly opening-range lows risking another test of the yearly open. Ultimately a breach above the objective August open at 1.3890 is needed to fuel the next breakout towards 1.3992.
The Sterling rally has extended into initial resistance hurdles into the September open with US Non-Farm Payrolls on tap tomorrow- stay nimble. From at trading standpoint, a good zone to reduce long-exposure / raise protective stops- be on the lookout for topside exhaustion / possible inflection into the upper parallel for guidance early in the month with a close above 1.3890 ultimately needed to keep the long-bias viable.