AUD

The Australian Dollar (AUD) extended Friday’s gains against the British Pound (GBP), the cross reaching 0.5260 (1.9015) Monday as risk markets rallied. Early Tuesday moves suggest a turn of the tide, the Aussie recovering to 0.5240 (1.9090). Bank of England’s Bailey spoke earlier today saying “it’s far too early to be thinking about rate cuts”, inflation risks remain with food price inflation ahead. The Labour market although it softened lately also still remains elevated. We expect the 0.5260 (1.9015) level will be well protected this week and the GBP to be supported.

Current Level: 1.9069
Resistance: 1.9360
Support: 1.9000
Last Weeks Range: 1.9017 – 1.9315

The New Zealand Dollar (NZD) retested heavy support at 0.5480 (1.8240) late in the week against the Euro (EUR) closing at the 0.5495 (1.8200) area. Monday’s risk on flows have seen the kiwi kick back to 0.5530 (1.8080) as equity markets improved overnight and the US Dollar index declined half a percent. On the docket this week is French and German Manufacturing. A decline in Producer prices could push the kiwi higher as buyer appetite for the Euro drops. Friday’s NZ Retail Sales for September could put the NZD under pressure if we see a release of around -1.0%.

Current Level: 1.8132
Resistance: 1.8400
Support: 1.7605
Last Weeks Range: 1.7954 – 1.8283

The New Zealand Dollar (NZD) retested heavy support at 0.5480 (1.8240) late in the week against the Euro (EUR) closing at the 0.5495 (1.8200) area. Monday’s risk on flows have seen the kiwi kick back to 0.5530 (1.8080) as equity markets improved overnight and the US Dollar index declined half a percent. On the docket this week is French and German Manufacturing. A decline in Producer prices could push the kiwi higher as buyer appetite for the Euro drops. Friday’s NZ Retail Sales for September could put the NZD under pressure if we see a release of around -1.0%.

Current Level: 0.5515
Support: 0.5435
Resistance: 0.5680
Last week’s range: 0.5469 – 0.5569

The British Pound (GBP) held prices around 2.0790 (0.4810) at the end of the week against the New Zealand Dollar (NZD) despite softer UK Retail Sales. Moves into Tuesday have been largely to the upside, the kiwi clawing back losses to 0.4830 (2.0700). This week we expect the pair to keep within recent ranges on a lack of data publishing. Looking ahead we have UK Manufacturing before NZ Retail Sales Friday.

Current Level: 2.0725
Resistance: 2.1210
Support: 2.0365
Last Weeks Range: 2.0589- 2.0962

The British Pound (GBP) held prices around 2.0790 (0.4810) at the end of the week against the New Zealand Dollar (NZD) despite softer UK Retail Sales. Moves into Tuesday have been largely to the upside, the kiwi clawing back losses to 0.4830 (2.0700). This week we expect the pair to keep within recent ranges on a lack of data publishing. Looking ahead we have UK Manufacturing before NZ Retail Sales Friday.

Current Level: 0.4825
Resistance: 0.4910
Support: 0.4715
Last Weeks Range: 0.4770 – 0.4857

The Australian Dollar (AUD) made gains on the New Zealand Dollar (NZD) last week closing up around ¾ of a percent. The Aussie supported by a range of positive data- The Chinese RMB, rises in precious metals and resources prices including iron Ore rise to 134.50. Last week’s stubborn unemployment at 3.7% and recent interest hike to 4.35% are keeping the Aussie bid. Today’s RBA minutes from the 7th of Nov meeting will be keenly followed as investors look for further clues around forward guidance. 0.9180 (1.0890) has held earlier today with the kiwi looking to recover losses as I write.

Current Level: 1.0859
Resistance: 1.0950
Support: 1.0650
Last Weeks Range: 1.0772 – 1.0881

The Australian Dollar (AUD) made gains on the New Zealand Dollar (NZD) last week closing up around ¾ of a percent. The Aussie supported by a range of positive data- The Chinese RMB, rises in precious metals and resources prices including iron Ore rise to 134.50. Last week’s stubborn unemployment at 3.7% and recent interest hike to 4.35% are keeping the Aussie bid. Today’s RBA minutes from the 7th of Nov meeting will be keenly followed as investors look for further clues around forward guidance. 0.9180 (1.0890) has held earlier today with the kiwi looking to recover losses as I write.

Current Level: 0.9201
Resistance: 0.9390
Support: 0.9130
Last Weeks Range: 0.9190 – 0.9283

The double top area at 0.6050 is coming into play with the recent spike in the New Zealand Dollar (NZD). The US Dollar (USD) has been under the pump with talk over the Federal Reserve’s next rate move, possibly a cut. Certainly, recent inflation figures are supporting this when it recently dropped from 3.7% to 3.2% y/y. We should get further clues in tomorrow morning’s Fed minutes. Recently Fed’s Powell reiterated the need for higher bond yields and the 2.0% inflation target was a long way off. A push past 0.6070 could signal further upside for the kiwi, certainly risk sentiment will play a big part in such a move with the geopolitical uncertainty still the no 1 currency mover.

Current Level: 0.6037
Resistance: 0.6200
Support: 0.5850
Last Weeks Range: 0.5862 – 0.6053