AUD/USD, NZD/USD, USD/CNY – Asian Session Daily Forecast

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Updated: Oct 30, 2019, 08:16 UTC

The markets were calm in the Asian session, as the Australian and New Zealand dollars and the Chinese yuan showed limited movement. We could see stronger movement in the North American session, with the release of U.S. GDP and an expected rate cut by the Federal Reserve.

AUD/USD

AUD/USD is steady in the Wednesday session. In European trade, the pair is trading at 0.6872, up 0.11% on the day.

Australian CPI Matches Forecast

Australian CPI is released each quarter, magnifying the impact of each release. Inflation rose 0.5% in the third quarter, as expected. This reading kept the Aussie steady, as the RBA will now likely refrain from another rate cut at next week’s monetary meeting.

AUD/USD Technical Analysis

The pair has broken through resistance at 0.6840 on Tuesday and has now set its sights on the 0.6880 line, which is under strong pressure. The pair remains above the 50-EMA line, which is a bullish signal. This indicates an upward trend, so this could be a good opportunity for buyers. On the downside, the round number of 0.6800 has some breathing room.

USD/CNY

USD/CNY has posted small losses on Wednesday. In the European session, the pair is trading at 7.0577, down 0.11% on the day.

USD/CNY Technical Analysis

USD/CNY continues to test support at 7.0592. The pair is clearly having difficulty consolidating below this resilient line. The 50-EMA, which is at 7.078, has been acting as a resistance line and could signal that the pair is on the verge of a downward trend. I expect USD/CNY to continue to test support at 7.0592 – if this line breaks, it would be a significant breakthrough. Below, there is support at the round number of 7.0400.

NZD/USD

NZD/USD has been trading sideways all week. In Wednesday’s European session, the pair is trading at 0.6353, down 0.03% on the day. Later today, New Zealand releases its first release of the week, Building Consents. This is a minor event that is unlikely to have much impact on the pair. On Thursday, we’ll get a look at Business Confidence, a key event. This indicator is mired deep in negative territory, as the September release dropped to -53.5 points.

NZD/USD Technical Analysis

Traders should keep an eye on the line of 0.6360, which remains fluid. Currently, it is a weak resistance line. The 50-EMA is also in this area (0.6370), which points to a lack of a clear trend. This makes it somewhat risky to enter the market. On the downside, there is support at 0.6320. On the upside, we find resistance at 0.6420.

About the Author

Kenny Fisherauthor

Kenny is an experienced market analyst, with a focus on fundamental analysis. Kenny has over 15 years of experience across a broad range of markets and assets –forex, indices and commodities.