The Aussie dollar holds the support zone finds between 100DSMA and 20DSMA erases most of the intraday gains but settles below 0.7200 levels.

The Oil price rebounds cause the lower level buying of AUD at yesterday’s session. The US new home sales data is the another factor supports the cross to inch higher.

Whats’s on today?

AUD- Private capital expenditure

The downturn in the Australian mining space pressures to reduce of capital expenditure for the fifth quarter in a row. Since 2014 Q4 the Private capital expenditure has been reducing. The non-mining related capital expenditure has been weaker than expected.

The Q4 2015 CAPEX is expected to reduce to 3.0% compared to a slump of 9.2% in an earlier quarter.

Senior economist Gareth Aird of Commonwealth Bank of Australia (CBA) said in a recent note that the reason non-mining investment is taking so long to pick up may be because expectations of future demand are too low to justify a lift in investment.

SEPTEMBER KEY POINTS ACTUAL EXPENDITURE (VOLUME TERMS)

The trend volume estimate for total new capital expenditure fell 6.5% in the September quarter 2015 while the seasonally adjusted estimate fell 9.2%.

The trend volume estimate for buildings and structures fell 7.0% in the September quarter 2015 while the seasonally adjusted estimate fell 9.8%.

The trend volume estimate for equipment, plant and machinery fell 4.7% in the September quarter 2015 while the seasonally adjusted estimate fell 8.2%.

Full press release: SEPTEMBER KEY FIGURES

The cross is trading at 0.7188 ahead of the data.

Trading support finds at 0.7180, 0.7140 and 0.7100

Resistance seems at 0.7200, 0.7220 and 0.7260

In the weekly chart, 20WSMA finds at 0.7140 and in the daily chart, 50DSMA finds at 0.7100.

In the four hour chart, earlier swing low finds at 0.7069 and 200sma finds at 0.7050.

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