A Range Bound AUD/USD Presents Scalping Opportunity
The Australian dollar has seen its volatility quiet as the RBA’s tightening cycle is expected to take a pause and risk sentiment ebbs and flows. The central bank is expected to keep rates at 4.00% at their upcoming policy meeting which could see them remain on hold over the near-term. Meanwhile, a weak U.S. ADP jobs report which showed that the private sector in the world’s largest economy lost 23,000 jobs has weighed on optimism. Early forecasts for job growth of 180,000 in the Non-farm payroll report had raised the outlook for growth and started to push demand for risky assets which had generated support for the high yielding Aussie. Therefore, we could see very little conviction in either direction until the labor report is released creating an ideal scalping environment.