Don’t waste your time – keep track of how NFP affects the US dollar!

Data Collection Notice

We maintain a record of your data to run this website. By clicking the button, you agree to our Privacy Policy.

facebook logo with graphic

Join Us on Facebook

Stay on top of company updates, trading news, and so much more!

Thanks, I already follow your page!
forex book graphic

Beginner Forex Book

Your ultimate guide through the world of trading.

Get Forex Book

Check Your Inbox!

In our email, you will find the Forex 101 book. Just tap the button to get it!

FBS Mobile Personal Area

market's logo FREE - On the App Store

Get

Risk warning: ᏟᖴᎠs are complex instruments and come with a high risk of losing money rapidly due to leverage.

69.21% of retail investor accounts lose money when trading ᏟᖴᎠs with this provider.

You should consider whether you understand how ᏟᖴᎠs work and whether you can afford to take the high risk of losing your money.

Westpac: Bullish rally of the AUD is inevitable in Q3

Westpac: Bullish rally of the AUD is inevitable in Q3

Information is not investment advice

After February’s rally to the highs of 2018, the stronger US dollar pulled AUD/USD below the 0.77 level. The rapid vaccine distribution in the US and great fiscal and monetary stimulus are among the reasons why investors now turn their heads to the US currency. Still, major analysts anticipate the AUD getting back its strength in the third quarter of the year.

According to Westpac’s Chief Economist Bill Evans, the Australian dollar is significantly undervalued. Analyst and his team set the end-year target for the currency at 0.82! They expect a return to the “risk-on” investment approach in the second half of 2021.  At the same time, global year-average growth is forecast to post around 6%, while the Australian economy is set to show an above-trend growth of 4.5% through 2021, up from the 1.1% contraction during 2020. These facts are in favor of the Australian dollar’s performance as well.

Another interesting observation by Westpac is connected with a correlation between the equity market and the AUD. Westpac points out that the bullish rally in the stock market plays a supportive role for the aussie.

All in all, AUD/USD looks attractive for buying on dips, than selling on the rallies, according to the bank. That is, we can expect the pair to return to the highs close to 0.8 in the third quarter of the year. This is a wonderful piece of news for the aussie bulls.

Technical picture

After several days of consolidation, here comes the sunny weather for the Australian dollar! The aussie broke above the descending trendline on Wednesday and strengthened towards 0.7780. If sellers try to pull the pair lower, it will return below the trendline and face the first obstacle that lies at the lower border of the recent consolidation range at 0.76. After the breakout of this level, sellers will face the next obstacle at 0.75.  

AUDUSDDaily.png

LOG IN

Similar

Popular

How Will BoJ Meeting Affect the Yen

Hold onto your hats, folks! The Japanese yen took a nosedive after the Bank of Japan (BOJ) left its ultra-loose policy settings unchanged, including its closely watched yield curve control (YCC) policy. But wait, there's more! The BOJ also removed its forward guidance, which had previously pledged to keep interest rates at current or lower levels. So, what's the scoop? Market expectations had been subdued going into the meeting, but some were still hoping for tweaks to the forward guidance to prepare for an eventual exit from the bank's massive stimulus

Choose your payment system

Callback

Please fill in the form below so we can contact you

Select the best time for us to call you. We give calls from Monday to Friday in suggested intervals. In case we couldn't get through, we will try again at the same time the next day. For getting real-time assistance, use FBS chat.

We provide only English-speaking callbacks. If you prefer any other languages, contact the support team.

We will call you at the time interval that you chose

Change number

Your request is accepted.

We will call you at the time interval that you chose

Next callback request for this phone number will be available in 00:30:00

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later