We’ve obtained the U.S. core PCE worth index arising subsequent!

I’m hoping this might spur a correction on AUD/USD for the reason that pair has been on a gentle uptrend.

Earlier than shifting on, ICYMI, yesterday’s watchlist checked out USD/JPY’s uptrend forward of the U.S. superior GDP launch. You should definitely take a look at if it’s nonetheless a legitimate play!

And now for the headlines that rocked the markets within the final buying and selling periods:

Contemporary Market Headlines & Financial Knowledge:

U.S. superior GDP rose by 2.9% q/q vs. 2.6% forecast in This fall 2022

U.S. superior GDP worth index at 3.5% q/q vs. 3.2% estimate in This fall

EU considers capping Russian diesel costs at $100/barrel

Tokyo core CPI accelerated from 3.9% to 4.3% y/y in Jan

Japanese PM Kishida warns that return to deflation can’t be dominated out

New Zealand’s ANZ enterprise confidence index improved from -70.2 to -50.2 in Jan

Australian import costs rose 1.8% q/q vs. 1.3% forecast in This fall 2022

Australia’s PPI slowed from 1.9% q/q to 0.7% vs. 1.7% forecast in This fall 2022

U.S. core PCE worth index at 1:30 pm GMT
U.S. private revenue and spending at 1:30 pm GMT
U.S. pending residence gross sales at 3:00 pm GMT

Use our new Foreign money Warmth Map to rapidly see a visible overview of the foreign exchange market’s worth motion! 🔥 🗺️

What to Watch: AUD/USD

AUD/USD 1-hour Foreign exchange Chart by TradingView

Later at present we’ll get a glimpse of the Fed’s most popular inflation measure. That’s the U.S. core PCE worth index yo!

Now analysts expect to see a slight pickup in worth pressures for December, which could be sufficient to maintain the Fed in a rate-hiking temper.

If that’s the case, the U.S. greenback might rake in additional positive factors, particularly for the reason that superior GDP earlier on printed upside surprises.

This may very well be sufficient to take AUD/USD again right down to the underside of its ascending channel on the hourly timeframe, which could be an excellent stage to hop in a bullish transfer.

Not solely does it line up with the .7000 main psychological mark and the 50% Fibonacci retracement stage, but it surely’s additionally close to the 200 SMA dynamic help!

Aussie bulls could be ready to cost round this space of curiosity, because the Land Down Below has additionally printed upbeat inflation figures earlier this week.

Stochastic is on the transfer down for now, suggesting that the correction might keep it up whereas the pair retreats from the channel prime.

The 100 SMA is safely above the 200 SMA, although, so the uptrend is extra more likely to resume than to reverse.

Simply don’t neglect to take a look at the common AUD/USD volatility when buying and selling this one!