Subscribe to our newsletter

Australian Dollar (A$) / US Dollar ($) (AUDUSD) Update

Currently the MACD is bearish since it is trading below its signal line.The MACD crossed below its signal line 1 period(s) ago. Since the MACD crossed its moving average, AUD’s price has decreased 0.05%, and has ranged from a high of 1.056 to a low of 1.043.

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -189.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 8 period(s) ago.

On 1/25/2013, AUD closed above the lower band by 21.7%.

Bollinger Bands are 38.29% narrower than normal. The current width of the bands (alone) does not suggest anything conclusive about the future volatility or movement of prices.

Technical Outlook
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish

Since 2010, the United States Federal Reserve has pumped hundreds of billions of dollars into the US economy through a policy known as quantitative easing (QE), which has the effect of stimulating growth but also pushes down the value of the currency.

It is one of the reasons the Australian dollar has risen sharply against the US dollar in recent years and remains above parity.

Talk of a currency war escalated this week when the Bank of Japan announced it would boost its quantitative easing efforts as it attempts to achieve an inflation target of two per cent.

Anticipation of the move has helped push the Australian dollar higher against the yen – from about 80 yen in October to more than 94 yen this week.