GBPAUD at 1.70? – When to buy AUD? – AUD Forecast (Steve Eakins)

AUD GBP Trades Above 0.5300 Ahead of Consumer Confidence

The Australian Dollar continues to weaken this week as speculation continues to build that the Reserve Bank of Australia (RBA) will cut interest rates as soon as next week.  There is also a general consensus that the FED will start “tapering” their Quantitative Easing (QE) program as soon as this afternoon. A change to QE is changing the risk appetite of traders who are no longer happy to take the risk of holding the AUD so a sell-off is happening.

If you are buying GBPAUD current levels are very attractive as we are near a 4 YEAR HIGH.  There is the chance that rates could improve further if the RBA cut rates next week, but be wary.  We also have the Bank of England releasing reports tomorrow and next week which could give the market a “forward guidance” of the UK’s QE program.  Any steps closer made by the BOE towards more QE could happily undo the gains we have seen.

If you are trading GBPAUD within the next week I would be ready to move quickly.  Here we offer SPIKE NOTIFICATIONS and RATE ALERTS to our client base, keeping them up to date.  There is no cost or obligation for this service, simply register via email at [email protected] with your details and confirmation of the currency pair you are after.

The long term trend looks set to be Aussie weakness but no one can guarantee anything, no crystal balls are available for the currency market. As a specialist currency broker I can help pick and choose the right times to maximise your currency transaction. For a free, no obligation discussion of your exchange or simple quotation, please speak to me Steve Eakins on [email protected]

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