The Currency Scene:
News, Events, and Stories about currency from around the world.

AUD/USD PRICE OUTLOOK: AUSTRALIAN DOLLAR CLIMBS AGAINST USD AHEAD OF FOMC DECISION

AUD/USD[5] is trading on its front foot so far this Tuesday with spot prices higher by about 0.2% intraday. The Australian Dollar is strengthening broadly on the back of solid economic data out of China, which could encourage wait-and-see RBA policy[6].

AUD/USD PRICE CHART: DAILY TIME FRAME (20 MAY TO 15 SEP 2020)

AUD USD Price Chart AUDUSD Australian Dollar Forecast

Gains notched by spot AUD/USD since bouncing off the 0.7200-price level last week highlights this confluent zone of resistance-turned-support. Also, the Aussie-Dollar continues to generally hold its positively sloped 20-day moving average, which could help sustain the broader bullish trend. This brings potential for a retest of technical resistance[7] underpinned by the 31 August swing high at the 0.7400-handle into focus.

AUD/USD PRICE CHART WITH VIX INDEX OVERLAID: DAILY TIME FRAME (DEC 2019 TO SEP 2020)

AUDUSD Price Chart AUD to USD Forecast September 2020 FOMC Meeting

The Australian Dollar might remain in favor relative to its safe-haven[8] USD peer so long as trader risk appetite remains intact and expected market volatility stays relatively subdued. AUD/USD price action could face headwinds, however, if sentiment sours and causes the S&P 500 VIX Index[9] to rise materially.

Nevertheless, the next direction of AUD/USD stands to be strong-armed by the upcoming Federal Reserve[10] interest rate decision. The FOMC[11] decision is scheduled to cross market wires this Wednesday, 16 September at 18:00 GMT, which will be accompanied by updated economic

Read more from our friends at Daily FX

Pin It

The Logo Story

currensceneFLOGO WHTsquareThough not the oldest form of currency, some form of shell money appears to have been found on almost every continent. The shell most widely used worldwide as currency was the shell of Cypraea moneta, the money cowry.

Visit the CurrenScene Media Page