The Aussie continues its run on our daily watchlist, this time focusing on AUD/CHF ahead of the potentially volatile Australian employment update and the Swiss National Bank’s monetary policy statement.
Intermarket Snapshot
| Equity Markets | Bond Yields | Commodities & Crypto |
| DAX: 12121.28 -0.28% FTSE: 7362.48 -0.49% S&P 500: 2881.62 -0.14% DJIA: 26020.05 -0.11% |
US 10-yr 2.127% -0.013 Bund 10-YR -0.238% -0.006 UK 10-YR: 0.872% +0.013 JPN 10-YR: -0.105% +0.002 |
Oil: 52.10 -2.20% Gold: 13336.90 +0.43% Bitcoin: 7952.21 +0.18% Etherium: 247.57 +0.39% |
Fresh Market Headlines & Economic data:
- US consumer prices barely rise in May
- Oil prices fall more than 2% on report of rising US crude stockpiles
- IMF’s Lagarde and ECB’s Draghi warn against troubling developments in trade war
- China consumer inflation in May rises to 15-month high; food prices spike 7.7% as cost of pork rose
- Boris Johnson says he is ‘not aiming for no deal’
- UK Labour moves to prevent new PM pursuing no-deal Brexit: Starmer
- Confidential cabinet note warns UK not ready for a no-deal Brexit on October 31
- Australian Consumer confidence tumbles after the Reserve Bank cuts rates
- RBA Kent: Financial links between Australia & China have deepened and likely to continue to grow
- New Zealand electronic retail spending falls in May
- Surprise gain in Japan’s machinery orders masks cooling investment outlook
- Japanese Producer Price Index fell 0.1% from the previous month
Upcoming Potential Catalysts on the Forex Calendar:
- U.K. RICS Housing survey at 12:01 am GMT (June 13)
- Australia employment at 2:30 am GMT (June 13)
- Japan Tertiary Industry Activity Index at 5:30 am GMT (June 13)
- Swiss National Bank’s monetary policy statement at 8:30 am GMT (June 13)
- Canada National housing prices at 1:30 pm GMT (June 13)
- U.S. import prices & unemployment claims at 1:30 pm GMT (June 13)
What to Watch: AUD/CHF
Looking ahead, we’ve got two top tier events on the calendar to potential create new short-term opportunities for forex traders: the quarterly Australian employment report and the Swiss National Bank’s latest monetary policy statement. The SNB’s statement is not usually a market moving event, but because they are a major central bank, we’ve gotta pay attention since a surprise there could yield a massive move. It’s more likely that we’ll see some action from the Australian employment report, and if you haven’t done your homework before the event, be sure to check out Forex Gump’s event preview post here.
After doing your homework, if you’re bearish on the Aussie then AUD/CHF is a great market to check out. It’s been grinding lower in a channel pattern since the end of May, and it’s about ready to retest the top of the channel ahead of the Aussie event. Stochastic is also signaling that conditions may be short-term overbought, a pattern that has preempted reversals back to the downside all throughout the channel.
If you’re a bull on the Aussie or if you see a bullish reaction on a surprisingly positive employment update, then an upside breakout of the channel should be on your watchlist. But keep in mind that 0.6950 has been a strong area of interest, so an upside move may be limited unless we see an out-of-this-world number.