Awaiting Bullish Affirmation from Consumer Sentiment

Australian Greenback Outlook:

• The Australian Dollar could get pleasure from a bullish increase from bettering US-China commerce relations
• Nonetheless, topside resistance is plentiful, and the technical obstacles will look to maintain a lid on AUDUSD positive factors
• With the unsure backdrop, IG Client Sentiment Data could present the affirmation wanted to set off an entry

Australian Greenback Outlook: Awaiting Bullish Affirmation from Consumer Sentiment

The Australian Greenback has loved a rebound off help since early October and has just lately been gifted one other bullish driver with the improvement in US-China trade relations. Given the Australian economic system’s relationship with China, any indication that the outlook for Chinese language financial progress is bettering might translate to increased Australian exports, due to this fact buoying the economic system and probably leading to a extra hawkish RBA. Whereas the elemental panorama seems to be shifting within the Australian Greenback’s favor, there are nonetheless issues available.

AUDUSD Worth Chart: 1 – Hour Time Body (October – November) (Chart 1)

The primary of which is the simultaneous influence on the US Dollar. A tangible enchancment within the US-China commerce battle could be seen as a optimistic improvement for the US economic system – as a key headwind is lowered. In flip, the Fed could turn into extra hawkish because the case for…