Aussie Retail Sales arrive 0.6% as expected, no shakes in AUD/USD

Australia's Retail Sales growth has been released for September as follows:

0.6% vs. 0.6% expected and prior 0.6%.

AUD/USD update

Unchanged on the data and stable at 0.6405. The pair has stuck to a 0.609 and 0.6393 range for the day so far. 

AUD/USD is below the dominant trendline but longs are in the market as per the past prior days of trade and inside bars of Wednesday's bullish candle and breakout. 

AUD/USD daily & H1 chart

At this juncture, while on the backside of the trend, the bias is to the downside on a break of 0.6350. 

About Aussie Retail Sales and why it matters

The Retail Sales released by the Australian Bureau of Statistics is a survey of goods sold by retailers based on a sampling of retail stores of different types and sizes and it's considered as an indicator of the pace of the Australian economy. It shows the performance of the retail sector over the short and mid-term. Positive economic growth anticipates bullish trends for the AUD, while a low reading is seen as negative or bearish.

The primary gauge of Australia’s consumer spending, Retail Sales, is released by the Australian Bureau of Statistics (ABS) about 35 days after the month ends. It accounts for approximately 80% of total retail turnover in the country and, therefore, has a significant bearing on inflation and GDP. This leading indicator has a direct correlation with inflation and growth prospects, impacting the Reserve Bank of Australia’s (RBA) interest rates decision and AUD valuation. The stats bureau uses the forward factor method, ensuring that the seasonal factors are not distorted by COVID-19 impacts