FOREX

As we have seen with many other markets overnight, the Aussie is trapped in a consolidation phase at lower levels and traders will be looking for a continuation of the recent down move. A etracement to 0.9900, or a break below 0.9810, will be the next opportunity for shorts.

As European woes continue to shroud the markets and US Budget cut concerns resurface the Australian Dollar had little support into the start of Asian hours yesterday

The Aussie dollar broke below 0.9975 yesterday and this resulted in a sharp move lower. Traders will be looking for a retracement towards 0.9880 for new intra-day shorts while a break below 0.9810 will trigger further selling.

The Australian Dollar continued its recent decline against its US Counterpart yesterday, dropping to its lowest level in six weeks.

The Aussie dollar pushed higher on Friday before being swiftly sent lower at resistance around 1.0100. For this week, the major support is still seen at 0.9975, and a break of this level is likely to see further selling.

After dipping below parity late last week for the first time in over a month, the Aussie re-captured some of those losses during Friday trade and begins the new week at 0.9980.

The AUDUSD fell below parity overnight as European bond markets endured another difficult session.A breach of important support at 0.9975 could open up the possibility of a move to 0.9550 support.

The AUD continued to drift lower overnight trading below 1.0000 as European debt issues continue to weigh on markets.

The Australian Dollar traded lower for the majority of yesterday reaching its lowest level in more than a month versus its US Counterpart.

The Australian Dollar has opened under pressure this morning as markets react to yet another headline.

Bell FX Currency Outlook: The Australian dollar looks at risk of heading back down through the parity level in the short term.

The Aussie dollar continues to look bearish with traders looking for new positions on a break below 1.0110. This sets up a move back to major support at 1.0060.

The Australian Dollar is relatively unchanged this morning after a choppy session in financial markets overnight.

Speculation of a further RBA rate cut lessened yesterday as the central bank’s minutes from the previous monetary policy meeting acknowledged only ‘moderate easing’ was required in current domestic and global conditions.

Bell FX Currency Outlook:The AUD has opened lower this morning, currently trading around USD1.0200, as investors caution over the European crisis continued during the offshore session.

Rumours of another potential cut in interest rates by the Reserve Bank of Australia on December 6 sent the Aussie in only one direction from yesterday’s opening levels, and that was down.

s Europe takes a few small steps in the right direction the Australian Dollar manages to use the resultant risk rally to recover from monthly lows near 1.0100, touching levels of 1.0290 before close of markets.

Wednesday's 2% decline in EURUSD was the only 3rd of such magnitude over the past 3 years. There have been five of + or 2% in the last 3 years, 2 of which occurred last month; (-2% Oct 31 after referendum announcement and +2% on Oct 27 after the EFSF/Troika/recap deal). Yesterdays 13% surge in EURUSD 1-month volatility typified the broadening rise in the currency's volatility as of late.

The Aussie has been sent sharply lower as the market sells out of risk instruments and we can now see the AUD/USD trapped below 1.0200. A retracement back to 1.0200 provides the best selling opportunity. Alternatively traders will be looking to sell breaks to new lows.

The Australian Dollar opens a staggering two and half cents lower against its US Counterpart this morning following an evening of across the board selling.

In what was a mixed bag of local data released yesterday Australia’s Trade Surplus narrowed more than economists forecast for the month of September with exports exceeding imports by 2.56 billion, whilst a private report showed business confidence strengthened to a five month high in October

As per yesterday, the Aussie continues to remain under pressure with major resistance seen at 1.0450. Traders will be looking to sell up at 1.0450 until we see a clear break above that level. Support is seen at 1.0280 and then 1.0200.

Bell FX Currency Outlook:The AUD has traded in a wide range in the last 24 hours as it continues to take direction, like just about all financial markets, from developments in Europe.

The Australian Dollar trended lower against its US Counterpart yesterday following a private report which showed job notices in Australia fell in October, for a fourth straight month by 0.7 percent.

Bell FX Currency Outlook: The AUD has opened just above 1.0410 as the financial world follows the developments in Europe. The Greek Prime Minister George Papandreou agreed to step down as leader to form coalition government while the G-20 summit concluded without agreement to use IMF SDR funding to fund the EFSF.

Gold advance to a fresh monthly high of $1768/oz as market participants diversified away from the U.S. dollar, and the bullion may continue to retrace the sharp selloff from back in September as the Federal Reserve casts a weakened outlook for the world's largest economy.

U.S. stocks capped their first weekly loss since September with a drop on Friday, as Europe's sovereign-debt problems overshadowed a small gain in U.S. employment. The Dow Jones Industrial Average shed 61.23 points, or 0.51%, to 11983.24, and snapped a streak of five weekly gains. The Standard & Poor's 500-stock index shed 7.92 points, or 0.63%, to 1253.23, ending its own weekly winning streak at four.

The Australian dollar has rallied overnight following positive moves in offshore markets.

The EU plan has potentially stamped a bottom on risk assets and traders will be focused only the long side for the moment. Any pullbacks are likely to be bought with 1.0620 to 1.6405 seen as the potential support zone.