Tag Archives: AUD

EURAUD Strong Downtrend Continues

Nenad Kerkez

This week we have the ECB meeting, with analysts predicting further forms of QE by reducing deposit rates, which should weaken the EUR. Of recent, we’ve seen Commodities prices rebound, in particular Iron Ore, Copper, Gold, OIl (and coupled pricing on LNG), all key exports of Australia, causing AUD to appreciate. On this basis, should commodities prices continue to recover and ECB introduces further QE then EURAUD will proceed below our daily target that is 1.4650 and might extend to 1.4350 that is clearly seen on daily chart with a strong T-89 pattern rejection. more…

AUDJPY Bearish Equities Support The Drop

Nenad Kerkez

I have explained it many times during webinars- AUDJPY is a great pair to trade in correlation with equities. Today we have a risk off sentiment as 29 of the 30 Germany DAX companies are down in price. That is reflecting on Yen pairs. Basically, when its risk-on environment, commodities prices tend to increase, and traders go long AUD due to that factor. When commodities prices go up, stock Markets go up and there is demand for positive swaps on AUD pairs currently as opposed to JPY. When its a risk-off environment, usually the opposite occurs, and as a result, the JPY appreciates as foreign flows from Japan are repatriated back to their local currency. more…

AUDUSD Triple Top Holding The Price

Nenad Kerkez

The light volume and lower volatility made AUDUSD possible trade bidirectionally. The initial rebound from 0.7050 made 30 pips initially as suggested on previous Session Recap webinar followed by a decline caused by investors dumping assets. Today’s FED’s chief Yellen testimony could be volatile and that is why I recommend caution. The testimony has been scheduled for 15:00 GMT. As head of the central bank, which controls short term interest rates, she has more influence over the nation’s currency value than any other person so pay attention to subtle clues about future monetary policy. more…

AUDJPY Dropping Towards New Lows

Nenad Kerkez

As I have stated many times in the articles and analysis the AUDJPY is heavily correlated with Chinese data. Bad Chinese data and equities drop. AJ drops too. It is called a positive correlation. Last night Caixin PMI printed out 50.2 vs 52.3 estimate. If you want to trade the pair which is correlated to Chinese markets its the AUDJPY. more…

AUDJPY Strong Confluence At X Cross

Nenad Kerkez

The AUDJPY is heavily correlated to ASX200 and Nikkei indices and if you trade this pair pay attention to both indices as well as SP500 as it moves along with ASX200. In my opinion, best correlation with JPY pairs is USDJPY vs Nikkei and AUDJPY vs ASX200. I also advise that you should use correlation table all the time, especially if you trade multiple pairs. more…

More Weakness Ahead On AUDUSD

Gregor Horvat

AUDUSD is finally turning lower with a very aggressive and impulsive price action from 0.7384 where pair might have reached a top of wave 4) if we consider also a broken channel support line of wave C. As such, traders must be aware of even more weakness in days ahead, especially after black wave 2 pullback that can be very interesting for shorts. more…

AUDUSD : Correction Within Downtrend

Gregor Horvat

AUDUSD stays bearish as rally from 0.6900 was made in three waves, but based on latest price action we suspect that wave 4) will be much more complex than at first sight. We are looking at a triangle now that is placed within a downtrend of a blue wave (5) that will extend to around 0.6700 by the end of the year. After that we will look for a bullish reversal that could take place in 2016. more…