The state of the Asian market: the market is without drivers

At the auction on Friday, after the restrained weakening of the American yesterday, there is a very low activity. It is expressed by narrow flats for most currency pairs. The yesterday’s decline of the American was caused by rumors about the delay in promoting tax reform in the US due to some inconsistencies. And this caused a wave of negativity regarding the American and flight from risks.

Also, at the beginning of the day, there was a RBA’s report on monetary policy. As a result, the Australian dollar weakened against the US dollar. But, it recovered after on low activity. The decline of the Australian currency was caused by the decrease in the inflation forecast for 2019, which confirms concerns about the Australian economy.

Recommended for reading: Technical analysis.

Hanzenko Anton