GBPAUD started the week above 2 and plummeted for the first 4 days of trading to 1.925. The Australian dollar has made gains against sterling for the first time this week throughout this mornings trading period and levels are floating between 1.93 and 1.94. In addition it looks like the market has now found a new support level in the mid to lower 1.90s.
Going forward the RBA have their latest Interest Rate decision next Tuesday and I believe they will keep rates on hold. Therefore the announcement could be a non event.
I wouldn’t be surprised to see the Pound continue to tumble next week due to further fears of a ‘brexit’ consequently GBPAUD could finish the week in the lower 1.90s or possibly a break back into the 1.80s.
If you are needing to buy Australian Dollars with Sterling, quite simply I would trade sooner rather than later. If you have the sterling available to you right now, the best contract to use is a spot contract. Where as i you only have a small amount available we could use a forward contract allowing you to lock into today’s exchange rate but you can pay later.
If you need to sell Australian Dollars to buy Sterling the Chinese stock market should still be a worry to you. To limit your exposure I would use a limit order and stop loss at the same time. This allows you to give us the exchange rate you want to achieve but at the same time the minimum exchange rate and then we can monitor the market for you.
Going forward I can give you economic information to help you time your transfer and also offer you a better exchange rate than what you would receive with your bank and other brokerages. This can be anywhere between 1-5%. My direct email is [email protected] Dayle Littlejohn. Alternatively call me on 0044 1494 787 478 and ask to be put through to Dayle Littlejohn.