AUDUSD buyers seem to be enjoyingthe recent rise towards key resistance zone at around 0.9300. There were threeattempts so far to settle above 0.9300, but buyers struggled to take the pairhigher. Australia’s employment report islined up during this week, which could act as a catalyst for the pair.
AIG Performance ofConstruction Index
During Asian session, Australian Performance of Construction Indexwas published by Australian Industry Group and the Housing Industry Association.The report suggested that the national construction industry continued todecline in March, as Australian Performance of Construction Index registeredanother contraction with a reading of 46.2 points. This is the thirdconsecutive month of a reading below 50 points due to slower declines in bothnew orders and activity. The outcome is disappointing, but the impact onAustralian dollar was neutral.
Australian Employment report
On Thursday at GMT 01:30 AM, Australia’s employment report will bepublished. Many banks and economists believe that there is evidence of improvementsin the Australia's job market.Recently, job ads in the newspapers have been trending higher, which isa positive sign. If the outcome on Thursday exceeds expectations, then AUDUSDcould trade higher.
Technical Analysis
AUDUSD buyers struggling to pierce 0.9300 resistance zone, which hasacted as a barrier a number of times in the past. There is an expandingtriangle forming on 4 hour timeframe with resistance around the same zone. Duringlast week, AUDUSD sellers failed to defend a trend line, which is not acting asa support for the pair around 0.9200 level. If pair breaks higher and settlesabove triangle, then it might open the doors for further gains in the days tocome.
AUDUSD is trading above all three key moving averages (200,100 and 50). There is a divergence noted on the RSI, which could result in apullback in short term. Current price is 0.9280, with resistance ahead at 0.9308(Triangle resistance), 0.9340 (61.8% Fib of last leg lower from 0.9757 to0.8655) and 0.9380 (Swing high). Next support to the downside can be found at 0.9250(4H 50 SMA), 0.9210 (TL support) and 0.9180 (Triangle support).
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