AUD/USD Forecast: Corrective bounce from 0.7000 threshold
Premium|Take advantage of 50% OFF on your first month.
Start your subscription and get access to all our original articles.
You have reached your limit of 5 free articles for this month.
Get Premium without limits for only $9.99 for the first month
Access all our articles, insights, and analysts.
UNLOCK OFFERAUD/USD Current Price: 0.7031
- NAB’s Business Confidence improved to -10 in Q3 from -15 previously.
- Wall Street’s modest advance helped AUD/USD to recover some ground.
- AUD/USD is still at risk of falling in the near-term.
The AUD/USD pair fell to 0.7001, its lowest since late July, as risk aversion fueled demand for the greenback. Australia published at the beginning of the day Q3 NAB’s Business Confidence, which came in at -10 from -15. The country also published the Import Price Index for the same period, that came in worse than expected as it fell by 3.5% in the three months to September. Export prices declined by 5.1%.
Upbeat US data put a halt to equities’ collapse, with Wall Street posting intraday advances and helping the pair to recover to the current 0.7030 price zone. The Australian macroeconomic calendar will be light this Friday, as the country will only publish minor figures, September Private Sector Credit and the Q3 Producer Price Index.
AUD/USD short-term technical outlook
The AUD/USD pair has corrected oversold conditions, but the risk remains skewed to the downside, according to intraday technical readings. The 4-hour chart shows that the pair is developing below all of its moving averages, with the 20 SMA accelerating south below the larger ones. Technical indicators have barely bounced from oversold readings, but lack strength enough to support a bullish continuation.
Support levels: 0.6990 0.6950 0.6910
Resistance levels: 0.7070 0.7110 0.7160
View Live Chart for the AUD/USD
AUD/USD Current Price: 0.7031
- NAB’s Business Confidence improved to -10 in Q3 from -15 previously.
- Wall Street’s modest advance helped AUD/USD to recover some ground.
- AUD/USD is still at risk of falling in the near-term.
The AUD/USD pair fell to 0.7001, its lowest since late July, as risk aversion fueled demand for the greenback. Australia published at the beginning of the day Q3 NAB’s Business Confidence, which came in at -10 from -15. The country also published the Import Price Index for the same period, that came in worse than expected as it fell by 3.5% in the three months to September. Export prices declined by 5.1%.
Upbeat US data put a halt to equities’ collapse, with Wall Street posting intraday advances and helping the pair to recover to the current 0.7030 price zone. The Australian macroeconomic calendar will be light this Friday, as the country will only publish minor figures, September Private Sector Credit and the Q3 Producer Price Index.
AUD/USD short-term technical outlook
The AUD/USD pair has corrected oversold conditions, but the risk remains skewed to the downside, according to intraday technical readings. The 4-hour chart shows that the pair is developing below all of its moving averages, with the 20 SMA accelerating south below the larger ones. Technical indicators have barely bounced from oversold readings, but lack strength enough to support a bullish continuation.
Support levels: 0.6990 0.6950 0.6910
Resistance levels: 0.7070 0.7110 0.7160
View Live Chart for the AUD/USD
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.