Daily Outlook

The AUD/USD was quiet Wednesday consolidating some of the large gains on Tuesday post RBA.

A USD rebound in the US session on strong ADP Job numbers sent the AUD/USD slightly lower under 0.9600 to 0.9580.

The AUD did well against the NZD however with the market now beginning to focus on the RBNZ Interest rate decision next Thursday.

AUD/NZD moved to week highs above 1.0600 and technical speaking has broken the recent downtrend.

Later this morning we have Australian June Retail Sales forecast at 0.3% vs. 0.2% previously.

OIL/USD Surged higher overnight up 4% to $41.50 a barrel  ignoring a build in US Crude Oil inventories. Traders put the rally down to a short squeeze after the key $40 a barrel level held.

The Bank of England meet tonight and the market is expecting both an interest rate cut and a new QE program. The GBP has been under pressure since the Brexit vote and is expected to move dramatically today. GBP/USD is currently at 1.3335.

AUD/USD Intraday: further upside. Pivot: 0.7570 Our preference: long positions above 0.7570 with targets @ 0.7640 & 0.7675 in extension. Alternative scenario: below 0.7570 look for further downside with 0.7550 & 0.7520 as targets. Comment: the RSI shows upside momentum. Supports and resistances: 0.7700 ** 0.7675 *** 0.7640 *** 0.7580 Last 0.7570 *** 0.7550 *** 0.7520 ***

Ticker : AUD

USD/JPY Intraday: key resistance at 102.00. Pivot: 102.00 Our preference: short positions below 102.00 with targets @ 100.65 & 100.00 in extension. Alternative scenario: above 102.00 look for further upside with 102.85 & 103.95 as targets. Comment: a break below 100.65 would trigger a drop towards 100.00. Supports and resistances: 103.95 *** 102.85 *** 102.00 *** 101.39 Last 100.65 *** 100.00 *** 98.95 ***

Ticker : JPY