Industrial foreign exchange consulting, the Australian dollar is basically stable against the US dollar, paying attention to the decision of the Reserve Bank of Australia on Tuesday

Markets mirrored the US weekend, with the Aussie dollar relatively unchanged against the US dollar on the first trading day of the quarter. The pair was trading at 0.6450 as the market began to reposition in preparation for an upcoming decision by the Reserve Bank of Australia (RBA) and key US jobs data.

Markets mirrored the US weekend, with the Aussie dollar relatively unchanged against the US dollar on the first trading day of the quarter. The pair was trading at 0.6450 as the market began to reposition in preparation for an upcoming decision by the Reserve Bank of Australia (RBA) and key US jobs data.

The biggest catalyst for the Aussie-dollar exchange rate on Monday was news that the US government was avoiding a major shutdown. The House of Representatives unexpectedly passed a bill extending government funding for 45 days and providing disaster relief assistance. The bill quickly passed the Senate.

Because the government is the largest employer, a government shutdown is bad for the US economy, so it will affect an already slowing economy as millions of Americans are about to start paying off their student loans.

In addition, a government shutdown could affect policymakers like the Federal Reserve who rely on important economic data. For example, the U.S. Bureau of Labor Statistics (BLS) released data on job openings and nonfarm payrolls (NFP) this week.

The Aussie/US dollar currency pair also reacted to weak Chinese economic data. The Caixin services PMI fell from 51.8 in August to 50.2 in September, a sharper than average estimate of 52.0. The manufacturing PMI also fell from 51.0 to 50.6, below expectations of 51.2.

The figures are not good for the Australian dollar, which sells most of its goods and services to China, the world's second-largest economy.

The next big event to watch will be the Reserve Bank of Australia's (RBA) interest rate decision on Tuesday. Most economists expect the RBA to leave rates unchanged at Michael Block's first meeting.

AUD/USD currency pair technical analysis

The Australian dollar fell to a low of 0.6330 against the US dollar last week, its lowest level since November 4 last year. On the 4-hour chart, the pair rallied and approached the key resistance level of 0.6510, the highs of August 30, September 1 and 20. It moved between the midline and the upper line of the Bollinger Bands indicator, while the Relative Strength Index (RSI) moved lower.

Therefore, the future trend for AUD/USD is downward as sellers target the next major support level at 0.6400. A fall below this support level would bring the price down to the next support level at 0.6363, the lowest point on September 7.

At 18:30 Beijing time, the Australian dollar was trading at 0.6399/01 against the US dollar.