AUD/USD Analysis: mute ahead of all relevant Australian employment data
|AUD/USD Current price: 0.7140
- Australian jobs' creation expected to ease after two months of strong gains.
- Wages' growth gaining relevance amid RBA hopes they could boost inflation.
The Aussie remained subdued against the greenback, with the pair showing little reaction to the ups and downs in sentiment throughout the day. The intraday range was of measly 25 pips, as the focus was mostly on European currencies. The pair was also indifferent to commodities prices, despite nice swings in oil and gold. Exacerbating the range around the AUD/USD pair is upcoming Australian employment data, usually a nice catalyst. The country is expected to have added 16.5K new jobs in December, while the unemployment rate is seen steady at 5.1%. Focus, when it comes to jobs' creation will be on fulltime positions, as in November, gains were all about part-time jobs. Market players will be also paying attention to wages' growth, as the RBA is hoping it could boost inflation. Better-than-expected numbers could give the pair a boost, although given that risk-averse factors remain the same, seems unlikely the pair could sustain such gains. On the contrary, a disappointing outcome should fuel the negative tone of the pair.
Hovering around 0.7140, the pair offers a neutral-to-bearish stance in its 4 hours chart, with the price now stuck with all of its moving averages, which reflect the lack of directional strength, and technical indicators consolidating right below their midlines without clear directional strength. The immediate resistance is 0.7155, a relevant Fibonacci one, followed by the 0.7180 level. Seems unlikely the pair could recover and sustain the 0.7200 level. To the downside, a strong support comes at 0.7070, with large stops suspected below it. If those get triggered, the pair will likely approach the 0.7000 region in the upcoming sessions.
Support levels: 0.7105 0.7070 0.7030
Resistance levels: 0.7155 0.7180 0.7210
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