Tag Archives: AUD Australian Dollar

Malaysia Producer Prices Decline At Faster Pace In April

Malaysia’s producer prices declined at a faster rate in April, figures from the Department of Statistics showed on Friday. The producer price index fell 5.1 percent year-on-year in April, following a 1.9 percent decrease in March. Prices fell for the second straight month. The statistical office said this was the lowest rate of change recorded since November 2015. Among sectors, prices of mining declined 58.3 percent annually in April and water supply decreased 1.0 percent. Meanwhile, prices for agriculture, forestry and fishing grew 8.7 percent. Prices for electricity and gas supply, and manufacturing increased 0.2 percent and 0.1 percent, respectively. On a month-on-month basis, producer prices declined 2.7 percent in April, following a 3.0 percent fall in the preceding month. The material has been provided by InstaForex Company – www.instaforex.com…

European Economics Preview: Eurozone Flash Inflation Data Due

Flash consumer prices from euro area and retail sales from Germany are due on Friday, headlining a busy day for the European economic news. At 2.00 am ET, Destatis is scheduled to issue Germany’s retail sales and import price data. Economists forecast retail sales to fall 14.3 percent on year in April, much bigger than the 2.8 percent drop reported in March. In the meantime, UK Nationwide house price data is due. House prices are forecast to rise 2.8 percent annually in May after climbing 3.7 percent in April. At 2.45 am ET, flash consumer prices, final GDP, producer prices and household consumption reports are due from France. Consumer price inflation is seen unchanged at 0.3 percent in May. At 3.00 am ET, GDP figures are due from Austria, Hungary and Turkey. Turkey’s economy is expected to grow 5.4 percent on year in the first quarter, slower than the 6 percent expansion seen in the fourth quarter of 2019. Half an hour later, Statistics Sweden releases GDP, foreign trade and household lending data. The economy is forecast to grow 2.2 percent on a yearly basis in the first quarter. At 4.00 am ET, Italy’s Istat releases revised GDP data…

Trading recommendations for GBP/USD pair on May 29

From the point of view of complex analysis, you can see the V-shaped recovery, and now let’s talk about the details.
The trading week is coming to an end, it’s time to sum up the preliminary results, so the past days were extremely volatile. The quote initially developed the area of 1.2150/1.2180 and jumped up, updating the maximum of the past week [May 19-1.2294]. After that, against the background of inertia, the level of 1.2350 was reached, where it was developed very accurately in the downward direction and against the background of new inertia, the quote declined to the area of 1.2200.
At this stage, a V-shaped mirror formation was formed with incomplete development, where activity did not decline, but, on the contrary, increased, forming a positive V-shaped formation in 27 hours, thereby returning the quote all to the same level of 1.2350.
Such a rapid desire of buyers to pull the quote as far as possible is connected with the sale of the US dollar, which is felt throughout the market.
If we make a comparative analysis with the EUR/USD currency pair, we will see that the clock components are changing, but so far the GBP/USD pair is following…

Tensions between the US and China escalates once again

On Thursday, China moved forward with a resolution to introduce national security laws in Hong Kong to quell protests that befall there.The proposal came after the US House of Representatives passed a bill on Wednesday, ruling out sanctions to Chinese officials involved in the suppression of Uighurs. It stemmed from the decision of the US that Hong Kong is no longer autonomous from China, making President Donald Trump take actions, such as the cancellation of special trade agreements, which is of great importance to many large US companies doing business in Hong Kong. However, despite all those dissents, the Chinese government still proceeded to ratify the so-called national security law, which supposedly tightens control over Hong Kong. The move further angered the United States, and the relations between the two countries continue to deteriorate.The increased hostility between Beijing and Washington over China’s human rights policies, including its relations with Hong Kong and the treatment of the Muslim minority, reinforces the demand of safe haven assets.”The souring US-China relations have returned to the forefront of the market,” wrote Jim Wyckoff, senior analyst at Kitco.com.Gold was also affected by the negative economic performance of the US dollar.US GDP has dropped by 5%, durable…

South Korea Industrial Production Falls 6.0% In April

Industrial output in South Korea dropped a seasonally adjusted 6.0 percent on month in April, Statistics Korea said on Friday. That missed expectations for a decline of 3.2 percent following the 4.6 percent increase in March. On a yearly basis, industrial production sank 4.5 percent – again missing forecasts for a fall of 2.2 percent after rising 7.1 percent in the previous month. The Index of All Industry Production was down 2.5 percent on month and 5.0 percent on year. The Manufacturing Production Index in April fell 6.4 percent on month and 4.7 percent on year. The Manufacturing Shipment Index lost 7.2 percent on month and 7.3 percent on year. The Manufacturing Inventory Index eased 0.4 percent on month but added 2.5 percent on year. The Production Capacity Index in April eased 0.1 percent on month but climbed.8 percent on year. The Index of Capacity Utilization Rate dropped 7.7 percent on month and 8.5 percent on year. The Manufacturing Average Capacity Utilization Rate in April was 68.6 percent, down 5.7 percentage points from the previous month. The Index of Services gained 0.5 percent on month but lost 6.1 percent on year. The Retail Sales Index added 5.3 percent on month…

Elliott wave analysis of EUR/JPY for May 29, 2020

EUR/JPY has rallied to a high of 119.39 or just above our ideal target at 119.31. This has completed wave iii/ and we should now see a correction in wave iv/. As wave ii/ was a simple deep zig-zag correction, we should expect a complex flat correction, that doesn’t correct more than 38.2% of wave iii/. Then the pair may try to hit 117.84. Wave v/ may climb to at least 120.30 and possibly even closer to 121.16 where we see solid resistance. In the short-term, a break below minor support at 118.45 will confirm that wave iii/ has peaked and wave iv/ is in motion. R3: 120.29R2: 119.65R1: 119.39Pivot: 118.80S1: 118.45S2: 118.20S3: 117.84Trading recommendation: We took profit of 75% of our long EUR position at 119.20 enjoying a nice profit of 355 pips. We will re-buy EUR at 118.00 The material has been provided by InstaForex Company – www.instaforex.com…

Forecast for EUR/USD on May 29, 2020

EUR/USD
Yesterday, investors’ expectations for positive US data did not materialize. The volume of orders for durable goods fell by 17.2% in April after a previous drop of 14.7%. The forecast was -19.0%, but of -17.2% optimism, of course, does not cause. The second estimate of GDP for the first quarter was revised down from -4.8% to -5.0% against the forecast without change (i.e. -4.8%). As a result, the dollar index lost -0.47%, the euro grew by 68 points, the S&P 500 fell by 0.21%.
Macro statistics do not have to wait for optimism to an even greater extent today. The forecast for personal incomes of consumers for April is -7.0%, for personal expenses -12.6% versus the March contraction of -7.5%. The index of business activity in the manufacturing sector of the Chicago region in May is expected to increase from 35.4 to 40.1, but here (in the spirit of the times) there is a great emotional component, so the data may turn out to be worse.
The euro is moving towards its first target of 1.1140 on the daily chart. Whether there will be a price reversal from this level or the euro will continue to grow higher…

Forecast for AUD/USD on May 29, 2020

AUD/USD
The Australian dollar is consolidating for the third day at the 0.6677 level (extremum of August 7, 2019, October 1, 2019, March 9, 2020, etc.). At first glance, this is a sign of continued growth, but if the price does not manage to do this before the Marlin oscillator signal line goes into the negative area, it will fall. The purpose of growth is the record level of 0.6820. In the event of a price reversal, the first goal will be to support the embedded line of the price channel at around 0.6470.
According to Marlin, divergence is observed on the four-hour chart, but the price is higher than the indicator lines of balance and MACD, which shows sufficient potential for continued growth, if not to the target level of 0.6820, then with the possibility of a false exit above the first target level of 0.6677. Departure of the price to the signal level of 0.6569 will confirm the Australian dollar in adherence to the main scenario – to initially drop to 0.6470, then to lower targets (0.6328, 0.6107).
The material has been provided by InstaForex Company – www.instaforex.com…

Forecast for USD/JPY on May 29, 2020

USD/JPY
The US stock market (S&P 500) lost 0.21% on Thursday due to weak economic data: the volume of orders for durable goods fell by 17.2% in April, the second estimate of GDP for the first quarter was revised down from -4.8 % to -5.0% against an unchanged forecast (i.e. -4.8%). The Japanese Nikkei 225 index is down 0.65% today in the Asian session. The currency pair itself, following the stock market, turned down from the signal level of 107.78 yesterday and approached the support of the embedded price channel line (107.37) this morning, overcoming which will allow the price to fall to the MACD indicator line (107.12), then, in case it leaves the area under the MACD line, to the target level of 106.75.
The price has consolidated below the MACD line on the four-hour chart, the Marlin oscillator is in the negative zone. The probability of the bears’ success, that is, overcoming the support of 107.37 is 62-65%.
The material has been provided by InstaForex Company – www.instaforex.com…

NZD/USD holding above trendline support preparing for a bounce!

Trading RecommendationEntry: 0.61800Reason for Entry: Ascending trendline support, 61.8% Fibonacci retracementTake Profit : 0.62408Reason for Take Profit: 78.6% Fibonacci retracement, 61.8% Fibonacci extensionStop Loss: 0.61499Reason for Stop loss: Graphical swing low, 50% Fibonacci retracementThe material has been provided by InstaForex Company – www.instaforex.com…