Aussie and Kiwi Selloff Continues; Key Economic Events Expected Later This Week
| Action Insight Daily Report 4-24-23 |
Aussie and Kiwi Selloff Continues; Key Economic Events Expected Later This Week |
In today's Asian trading session, Australian and New Zealand dollars extend their decline from late last week, weakening broadly. Concurrently, Japanese Yen is trailing as the next weakest currency. This picture aligns with the steady risk sentiment across Asia, except for Hong Kong stocks. On the other hand, Dollar, Euro, and Swiss Franc are showing strength, while British Pound and Canadian Dollar display are mixed. The economic calendar appears light in the beginning but gradually fills with significant events towards the end. Notably, Australia's CPI, Q1 GDP figures from US and Eurozone, Canada's monthly GDP, and BoC minutes may induce volatility in their respective currencies. From a technical standpoint, EUR/AUD's break of 1.6444 resistance suggests resumption of the overall uptrend from 1.4281. Additionally, EUR/CAD is marching towards 1.4935 resistance level. Decisive break there would resume the larger uptrend from 1.2867, with next target at 61.8% projection of 1.3270 to 1.4640 from 1.4236 at 1.5083. A crucial question is whether EUR/USD will follow suit by breaking through 1.1075 resistance. In Asia, Nikkei closed up 0.10%. Hong Kong HSI is down -1.44%. China Shanghai SSE is down -0.82%. Singapore Strait Times is down -0.15%. Japan 10-year JGB yield is up 0.0061 at 0.468. |
https://EUR/AUD%20Daily%20Outlook Daily Pivots: (S1) 1.6299; (P) 1.6364; (R1) 1.6484; More... EUR/AUD's break of 1.6444 resistance suggests that up trend from 1.4281 is resuming. Intraday bias is now back on the upside for 100% projection of 1.4281 to 1.5976 from 1.5254 at 1.6949. For now, near term outlook will remain bullish as long as 1.6219 support holds, in case of retreat. Also, sustained trading above 1.6434/44 resistance will carry larger bullish implications. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 08:00 | EUR | Germany IFO Business Climate Apr | 94.0 | 93.3 | | 08:00 | EUR | Germany IFO Current Assessment Apr | 96.1 | 95.4 | | 08:00 | EUR | Germany IFO Expectations Apr | 91.6 | 91.2 | | 12:30 | CAD | New Housing Price Index M/M Mar | 0.10% | -0.20% |
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