AUD/USD Forecast: Ready to pierce the 0.6600 threshold
|AUD/USD Current Price: 0.6618
- Australian unemployment rate ticked higher to 5.3% in January.
- Australian manufacturing activity seen contracting in February, services output expected to recover.
- AUD/USD trading near 0.6609 a fresh multi-year low and at risk of falling further.
The AUD/USD pair trades near 0.6609, a fresh multi-year low achieved this Thursday. Australia released January employment data at the beginning of the day, showing that the country added a total of 13.5K new jobs in January, beating the market’s estimate. Furthermore, the number came as a result of 46.2K new full-time positions, and a decrease in part-time jobs of 32.7K. However, the unemployment rate ticked higher to 5.3%, moving further away from the RBA’s desired level of 4.5%. The pair initially advanced with the data but quickly changed course as investors rushed to price in a more dovish central bank.
This Friday, Australia will publish the February preliminary Commonwealth Bank Manufacturing PMI, seen at 48.9 from 49.6 previously, and the Services PMI, seen bouncing from 50.6 to 52.4.
AUD/USD short-term technical outlook
The AUD/USD pair is closing in the red for a sixth consecutive day and despite extreme intraday readings, at risk of extending its slump. In the 4-hour chart, the pair edged sharply lower after meeting sellers around a bearish 20 SMA, which extends its slide below the larger ones. The Momentum indicator hovers near daily lows, while the RSI keeps heading south despite being at 23.
Support levels: 0.6595 0.6560 0.6525
Resistance levels: 0.6635 0.6670 0.6700
View Live Chart for the AUD/USD
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