AUDUSD signals

thenews 2013.08.25 10:18 #101

AUD/USD Forecast August 26-30

AUD/USD reversed direction last week , as the pair dropped about 150 points. AUD/USD ended the week slightly above the 0.90 line, at 0.9021. This week’s market-mover is Private Capital Expenditure. Here is an outlook of the events and an updated technical analysis for AUD/USD.

Australian New Motor Sales posted a sharp decline and the RBA minutes indicated that the Australian central bank wants to see a weak Australian dollar. The US dollar was broadly stronger as the FOMC minutes indicated that QE tapering is only a question of time.

Construction Work Done: Wednesday, 1:30. This indicator is an important gauge of the construction industry, and its release every quarter magnifies its impact. The indicator has not looked sharp, posting three declines in the past four quarters. The markets are expecting a turnaround in Q2, with an estimate of a 1.1% gain.
HIA New Home Sales: Thursday, Tentative. New Home Sales has looked strong in recent releases, and racked up a 3.4% gain in the previous reading. The markets will be hoping for another strong performance in the upcoming release.
Private Capital Expenditure: Thursday, 1:30. This indicator is the key event of the week. Private Capital Expenditure measures the change in new capital spending by private businesses, which is important for economic growth. The indicator has posted two consecutive declines, but the markets are expecting a slight gain in August, with an estimate of 0.2%.
Private Sector Credit: Friday, 1:30. Private Sector Credit is an important gauge of consumer borrowing. An increase in credit translates into more consumer spending, a critical component of economic activity. The indicator has been quite steady and gained 0.4% in July. An identical gain is expected in the upcoming release.

AUDUSD signals - page 11