The AUDUSD currency pair is heavily affected by the US and Australian economies, which enjoy a close economic relationship. The two countries are reliable trading partners and have a ratified Free Trade Agreement. Since the agreement came into effect, US exports to Australia have increased by more than nine percent. While both countries’ economies have different economic fundamentals, they do share some similarities.

The Reserve Bank of Australia releases its target short-term interest rate and monetary policy guidance on the first Tuesday of the month. The announcement may cause the AUD/USD to rise or fall depending on the tone of the statement. Traders may speculate that the RBA may reduce its target rate in the face of a weak economy. However, a dovish bias in the statement is likely to weaken the Australian dollar.

The AUD/USD currency pair has grown in popularity as Australia’s commodities boom commenced in the second half of the 2000s. The currency pair is a good way to see the growth of two influential economies in tandem. Individuals can trade the Aussie dollar to US dollar pairing by purchasing a forex contract, or buying or selling a contract for difference on the pair.

While day trading the AUD/USD currency pair is a great way to make money, there are a number of factors that should be considered. First, be aware of the Australian market hours. It is most active between the hours of 00:00 and 02:00 GMT. Second, monitor news releases and other economic news that could affect the currency’s direction.

Third, the Australian dollar is very closely tied to trading relationships with other countries. It is influenced by trade relations with Asian nations, and its interest rate differential with the U.S. is a significant factor in determining the strength of the AUD. Increasing interest rates in the United States can change the attractiveness of the AUD/USD. In addition to interest rates, Australian commodity prices also influence AUD/USD. The Australian economy is currently doing well, and it is likely to continue to increase in value.

In forex trading, the AUD/USD currency pair is among the most widely traded currency pairs. This currency pair has relatively low spreads and high liquidity. It is a popular pair to trade, and its volatility during the Asian trading sessions provides interesting trading opportunities. As a result, it is always worth keeping an eye on the AUD/USD currency pair.

Despite Australia’s small size, the AUD/USD currency pair is one of the most popular globally. Its issuer, the Reserve Bank of Australia, actively applies the AUD in trading and currency exchange operations. The Reserve Bank of Australia maintains high interest rates, which helps to keep the currency’s value high.

The AUDUSD and NZDUSD are both recovering from recent slumps against the US Dollar. Though both crosses are still under significant pressure, recent bids into risk currencies have lifted these pairs off their YTD lows. Now, markets are patiently awaiting the FOMC policy meeting scheduled for early November. The AUDUSD and NZDUSD will continue to move higher in the near term. Its recent volatility is indicative of a tightening environment for the major currency pairs.

The New Zealand Dollar moves on investor sentiment, which makes it a volatile pair. The currency’s value is highly sensitive to export volumes to China. Other important factors include the release of Chinese economic data. And tourism is another major contributor to the New Zealand economy. This currency pair tends to fluctuate in response to news releases regarding tourism, agriculture, and business confidence. However, the most important factor that impacts the NZD/USD exchange rate is the volume of exports to China.