TECHNICAL ANALYSIS

Overnight gains posted on the S&P and most of Europe's stock markets are providing a good starting point for Australian markets on Thursday after a flat finish yesterday.

The Australian Dollar opened at USD 0.9783 this week, finding support as the markets digest the IMF's policy board's weekend announcement, to act decisively and collectively, "to restore confidence and financial stability, and rekindle global growth".

The Australian Dollar has held its ground despite the IMF revising global growth forecasts from 4.3% and 4.5% in 2011 and 2012 respectively, to 4% in both years.

FXCM Currency Strategist, Christopher Vecchio, is bearish on the Aussie this week as the Australian economy continues to remain affected by global economic unease.

Australia: Yesterday the AUD fell steadily throughout the day as our equity markets posted significant losses. The AUD fell from a high of USD1.0470 early in our trading session yesterday, down to USD1.0320 at the end of the day.

The major driver of the currencies market last year was the crisis occurring over in Europe.For most of the last 18 months, investors have become increasingly concerned over the financial health of some of Europe's largest economies.

China's latest action to raise banks' reserve requirement ratios is no longer weighing on market sentiment as participants expect the more aggressive option of higher interest rates (borrowing and lending). The overnight decision to hike RRR for the 6th time this year is seen as part of a broader tightening. With 1-year lending rates standing at 5.56% and deposit rates of 2.50% below 4.40% CPI, the case for higher rates into 2011 remains intact. This helps explain why Shanghai Composite In...

Aside from Korea skirmiches and the FBI raids of several US hedge funds, rising Eurozone credit spreads extend beyond Ireland as Portuguese, Spanish, Greek and Italian 10- year spreads relative to Germany hit their highest sinc Nov 11-12). Good US data (US Q3 GDP revision to 2.5% from 2.0%) is good for the US dollar as was proven after last week's Philly Fed survey, as data weakens the case for buying the entire $600 bln in QE2. Korean border fire, FBI raids of US hedge funds & prolonged Iris...

History was made late Friday night in our Financial Markets when the Australian Dollar traded ever so briefly and in very thin conditions, above Parity with the US Dollar, for the first time since the currency was floated in December 1983.

The Australian dollar is still outperforming its peers as investors bet on higher yielding instruments and the U.S. equities are believed to boost Asian stocks.

The Australian dollar was trading at $US 97.75 cents early this morning.

The Australian dollar was trading at $US 97.13 cents early this morning.

The Australian dollar eased on Friday as soft Asian stock markets gave investors an excuse to take profits from recent gains.

Australian stocks slipped on Friday, led weaker by banking shares after a poor reading on the U.S. labour market pushed Wall Street lower overnight and eroded confidence about its recent rally.

The AUD has opened lower this morning as weak data in Europe overnight saw investor’s pullback from riskier trades.

The Australian Dollar held onto recent gains yesterday and traded quietly throughout the Asian session, hovering between 0.9530 and 0.9574.

The Australian dollar opened lower on Friday. The local currency was trading this morning at $US 94.91 cents.

After 25 long months, the Australian dollar opened above $US 95 cents.

The Australian currency finished at two-year high on Friday, returning to heights held before the financial crisis.

The Australian currency was slightly higher at Thursday noon as further speculation of quantitative easing in the US and currency devaluations by other countries kept it in a tight range.

The Australian dollar opened slightly higher after an unsteady session at the U.S. share market.

The Australian Dollar has out-performed the other major currencies over the past week, and this continued last night, with the AUD setting a new 2 year high of 0.9450 following rumours that the US Federal Reserve will announce quantitative easing measures as early as November.

The Australian dollar reaches the level it was in before the global financial crisis struck in 2008.

The Australian currency had kept most of the gains made in the past 24 hours, but failed to remake a five-month high reached on Monday.

The Australian currency was stronger at Tuesday noon, although investors avoided any big moves as they awaited the resolution of Japan's leadership struggle.

The Australian currency was higher at Friday noon after touching a four-month high as it continued to ride a bullish sentiment coming from positive economic data.

The Australian currency reached lifetime peaks against the euro and four-month highs on the US dollar after official jobs data showed a surge in full time employment in August.

The Australian currency reached a four-month high on Thursday noon after gaining almost half a US cent on the release of better-than-expected employment figures.

The Australian dollar opened higher due to strong U.S. equities and successful bond auctions in Europe.