The amount of building permits in Australia dropped a little in May 2016. This is confirmed by the recent report released by the Australian Bureau of Statistics. Despite the disappointing figures in terms of the amount f building permits, the experts report an increase in the amount of construction agreements for residential property.
The amount of approved construction projects in May dropped by 5.2% as opposed to April, the report says. In April 2016, there was a 3.3% increase. It is also interesting to note that the experts expected a 3.3% decline, which means that the actual figures dropped stronger than expected.
As opposed to May 2015, the index declined by 9.1% in May 2016. The year-over-year growth in April reach 1.3%. Even despite the decline, the increased amount of approvals in the sector of residential property creates some space for positive expectations regarding Australia’s construction sector. That’s why the Australian national currency is not feeling any considerable downward pressure at this point.
Forex
In the meantime, the Aussie is rallying against the U.S. Dollar within the scope a mid-term uptrend, Masterforex-V Academy reports. To be more specific, AUDUSD is still forming a bullish move – wave 3/C of level H8 or higher, the experts say.
For now, the closest levels of resistance are located at 0.7551/63, 0.7583/87, 0.7602/05.
A break below the bottom of the ascending MF sloping channel and MF pivot 0.7445 is going to put an end to the existing market bias.
