Current trend

After Tuesday’s growth, the AUD/USD pair fell due to poor Australian GDP release. Yesterday the market ignored the positive Trade Balance data, while the significant decrease of US Continuing Jobless Claims affected the pair negatively. During the last three days, the instrument has been testing the strong resistance level of 0.7835 unsuccessfully, and it is now trading around the psychological level of 0.7800.

Today at 15:30 (GMT+2) a number of key US employment market news will be published, namely, the Unemployment Rate release. Considering the decrease in Continuing Jobless Claims number, the expected fall by 0.1% is possible, which will support USD fully, and the AUD/USD pair will go down below the level of 0.7680.

Support and resistance

On the 4-hour chart, the instrument was corrected to the middle average line of Bollinger Bands. The indicator is pointed horizontally, as the price range has narrowed insignificantly, which reflects the reverse of the trend. MACD histogram is in the correction near the zero line. Stochastic has left the oversold area and formed a strong buy signal.

Resistance levels: 0.7800, 0.7822, 0.7838, 0.7858, 0.7875, 0.7902.

Support levels: 0.7713, 0.7736, 0.7763, 0.7782.

Trading tips

Short positions can be opened below the level of 0.7780 with the targets at 0.7680, 0.7650 and stop loss 0.7835. Implementation period: 1–2 days.

Long positions can be opened above the level of 0.7845 with the targets at 0.7900, 0.7930 and stop loss 0.7815. Implementation period: 1–2 days.

Australian vs US Dollar

BuySellSpread
0.708480.7079652

Scenario

TimeframeDay's Range
RecommendationsSELL STOP
Entry Point0.7775
Take Profit0.7680, 0.7650
Stop Loss0.7835
Support levels0.7713, 0.7736, 0.7763, 0.7782, 0.7800, 0.7822, 0.7838, 0.7858, 0.7875, 0.7902

Alternative scenario

RecommendationsBUY STOP
Entry Point0.7850
Take Profit0.7900, 0.7930
Stop Loss0.7815
Support levels0.7713, 0.7736, 0.7763, 0.7782, 0.7800, 0.7822, 0.7838, 0.7858, 0.7875, 0.7902
AUD/USD: general analysis

The material published on this page is produced by the Claws&Horns Company and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC; furthermore it has not been prepared in accordance with legal requirements designed to promote the independence of investment research and is not subject to any prohibition on dealing ahead of the dissemination of investment research.

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