This morning the Reserve bank of Australia raised the rate from 2.60% to the expected 2.85%. The Australian dollar did not react to the event, its growth in the morning is connected to a greater extent with the general correction of currencies after yesterday's fall. The aussie lost 60 points yesterday.
On the technical side, the correction is caused by a reversal of the signal line of the Marlin Oscillator from the zero line. But this reversal is weak - raw materials are not growing, stock indices are declining. We are waiting for the development of support at 0.6255 – the price channel line, and here the medium-term direction of the price will be decided. The bears have the advantage in choosing scenarios, since the momentum after a double reversal from the MACD indicator line of the daily chart on October 27 and November 2 has not yet dried up. With surpassing 0.6255, the 0.6195 target will become available - the underlying line of the price channel.
The four-hour chart shows a typical correction within a confident trend decline, albeit a local one. Probably, this correction or consolidation will be completed with the release of the US employment report in the evening. The forecast for Non-Farm Employment Change is 200,000, which is generally a good indicator.
Relevance up to 04:00 2022-11-05 UTC+1 Company does not offer investment advice and the analysis performed does not guarantee results. The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
