URGENT UPDATE: The Australian Dollar (AUD) is surging against the US Dollar (USD), reaching a significant level of 0.6615, as robust economic indicators and favorable external conditions fuel its ascent. This positive momentum comes as analysts from OCBC, including Frances Cheung and Christopher Wong, highlight the currency’s approach to critical resistance levels.
Market analysts confirm that AUD/USD has gained traction despite a slight dip following yesterday’s GDP report. The bullish outlook remains strong, supported by a favorable daily chart and rising relative strength index (RSI). “The bias is to stay long,” they assert, noting resistance at 0.6610/40 and support levels at 0.6550 and 0.6510.
This surge is attributed to several factors, including a steady Chinese Yuan (RMB), a weakening USD, and expectations of a more dovish stance from the Federal Reserve (Fed). The latest GDP report reinforces confidence in the Australian economic recovery, projecting sustained growth into the first half of 2026. The driving forces are domestic demand, resilient household consumption, a rebound in service sectors, and stronger housing activity.
“Yesterday’s GDP report further reinforced the view that AU economic recovery should be sustained,” OCBC analysts state.
As the AUD continues to climb, investors are closely monitoring upcoming economic data. The Australian Bureau of Statistics is set to release trade data on October 30, 2023, at 00:30 GMT, with a widening trade surplus forecasted to reach 4,200M MoM, compared to 3,938M in the previous period.
With the ongoing bullish trend, market participants are advised to watch for potential breakout points that could lead to further gains. The resilience of the AUD against the backdrop of global economic shifts highlights its importance for investors and traders alike, making this a critical time to stay informed about currency movements.
As developments unfold, the AUD’s performance will be crucial for those involved in international trade and investment, emphasizing the need for vigilance in this rapidly changing financial landscape.
