AUD slightly impacted by Chinese GDP contraction
On Friday, China reported that its first-quarter GDP shrank 6.8% on year
Share this:
On Friday, China reported that its first-quarter GDP shrank 6.8% on year (worse than the -6.0% expected), the first economic contraction in nearly 30 years. Industrial production also fell 1.1% in March (better than the -6.2% estimated) and retail sales declined 15.8% (worse than -10.0% expected). Australian economy is closely linked to China but those data had little impact on AUD.
From a technical point of view, the pair remains on the upside and now stands above its 50-day moving average (in blue) as the daily RSI stands within its buying area between 50 and 70. Readers may therefore consider the potential for further advance above horizontal support at 0.6165. The nearest resistance would be set at previous overlap at 0.6470 and a second one would be set at set at Mar. 9 top at 0.6685 in extension.
Source: TradingView, GAIN Capital
On Friday, China reported that its first-quarter GDP shrank 6.8% on year (worse than the -6.0% expected), the first economic contraction in nearly 30 years. Industrial production also fell 1.1% in March (better than the -6.2% estimated) and retail sales declined 15.8% (worse than -10.0% expected). Australian economy is closely linked to China but those data had little impact on AUD.
From a technical point of view, the pair remains on the upside and now stands above its 50-day moving average (in blue) as the daily RSI stands within its buying area between 50 and 70. Readers may therefore consider the potential for further advance above horizontal support at 0.6165. The nearest resistance would be set at previous overlap at 0.6470 and a second one would be set at set at Mar. 9 top at 0.6685 in extension.
Source: TradingView, GAIN Capital
Latest market news
The complete CFD trading experience
Award-winning platforms, competitive spreads, low commissions and dedicated support.
We live and breathe the markets and are dedicated to helping traders realise their ambitions as we continue to set the industry bar.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
EUR/USD Forecast: Euro Extends Losses Ahead of Fed Rate Decision
The euro has started to face a more challenging period in the short term. The EUR/USD pair has already declined by nearly 0.81% over the last four trading sessions, a move that has begun to reinforce a meaningful bearish bias in favor of the U.S. dollar.
Gold, Silver, DXY Outlook: Charts Test Defining Support Levels
Gold, Silver, DXY Outlook: Charts test defining support levels as crude oil prices hold above $100, U.S. Treasury yields move higher and hawkish FOMC risks come into focus. Key scenarios to watch.
Dow Jones Forecast: DJIA tumbles as Oil hits $100
U.S. stocks are pointing to a lower open as oil prices breach $100 a barrel for the first time since July, amid deepening tensions in the Middle East. Investors also remain cautious ahead of inflation data later in the week.
StoneX Europe Ltd may make third party material available on this website which may contain information included but not limited to the conditions of financial markets. The material is for information purposes only and does not contain, and should not be construed as containing, investment advice and/or investment recommendation and/or an investment research and/or an offer of or solicitation for any transactions in financial instruments; any decision to enter into a specific transaction shall be made by the client following an assessment by him/her of their situation.
StoneX Europe Ltd makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplied. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. We are not under any obligation to update any such material. Any opinion made may be personal to the author and may not reflect the opinion of StoneX Europe Ltd.