AUD/USD extends slide to fresh weekly lows under 0.6780
|- US Dollar remains steady despite all Fed talk.
- Aussie remains under pressure after weak jobs data from Australia.
The AUD/USD pair keep falling after the beginning of the American session and printed a fresh four-week low at 0.6768. As of writing trades at 0.6775, about to post the fifth consecutive daily decline.
Among majors, the Aussie is the worst performer affected by Australian economic data. The employment report for October showed an unexpected contraction in jobs of 19K while the unemployment rate rose from 5.2% to 5.3%. “All up, we still don't think the RBA (Reserva Bank of Australia) cuts in December. There is a lot of volatility in these numbers, so it won't be enough for the Bank to act. Still, the negative prints across the board do suggest the RBA will need to deliver another cut, we think in February 20”, explained analysts at TD Securities.
Also, the US Dollar continues to trade stronger against commodity currencies, adding more pressure to the AUD/USD amid uncertainty around the US/China trade deal. Today several FOMC officials, including Chairman Powell spoke in public having no relevant impact.
From a technical perspective, AUD/USD continues to move with a clear bearish bias showing oversold conditions in the short-term but so far no sign of a consolidation. The next support area might be seen at 0.6760, followed by 0.6740/45. On the upside, the immediate resistance is located at 0.6795 and above at 0.6810.
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