By IFCMarkets
Ready to Publish Australian Labor Market Data
The downward movement means the weakening of the Australian dollar against the US dollar. The main reasons for this may be the worsening of US-Chinese trade relations. China is the main buyer of Australian commodities. In the 1st quarter of 2020 Australia’s GDP fell by 1.4%, which is generally normal amidst the coronavirus pandemic. Key macroeconomic data seem rather neutral, except for the situation on the labor market. Unemployment in Australia in April hit a 5-year high of 6.2%. May data will be published on Thursday morning, June 18th. The forecasts are very optimistic. If the reality turns out to be worse, then this may strengthen the emerging Australian dollar correction. In the meantime, the decline is more technical in nature. There has been a correction after an increase of 27% from the 18-year low in March this year.
| Indicator | VALUE | Signal |
|---|---|---|
| RSI | Neutral | |
| MACD | Buy | |
| MA(200) | Neutral | |
| Fractals | Neutral | |
| Parabolic SAR | Sell | |
| Bollinger Bands | Neutral |
Summary of technical analysis
| Order | Sell |
| Buy stop | Below 0.679 |
| Stop loss | Above 0.709 |
Market Analysis provided by IFCMarkets
