AUD Outlook for 16 October 2017

Neutral

After a strong performance in the second week of October, we are upgrading the Australian dollar to neutral. The currency is rebounding thanks to strength in the Chinese yuan (China is the country's biggest trading partner) and the broader Chinese economy. Looking at a weekly chart, the Aussie has re-entered normal trading conditions having been overbought for most of September. Our analysis is based on various technical indicators.  

Updated