AUD/USD stuck in range above daily pivot, NFP eyed
|The AUD/USD pair faced rejection just ahead of hourly 200-SMA at 0.7428, and then drifted lower to test 0.74 handle, before recovering some ground to now trade muted around 0.7415 region.
AUD/USD awaits NFP
Currently, the AUD/USD pair trades almost unchanged at 0.7416, retreating slightly from session lows struck at 0.7409 earlier on the day. The Aussie is seen oscillating back and forth in a 25-pips narrow range, unable to benefit much from a better-than expected Australian retail sales print, which came in at +0.5% m/m in Oct versus 0.3% expected and +0.6% previous.
The bearish consolidation phase seen in the AUD/USD pair over last hours, is mainly on the back of risk-aversion as markets refrain from placing any directional bets on the spot ahead of the US payrolls data and weekend’s Italy vote.
Moreover, heavy losses seen in the commodities’ prices, especially oil and copper, also keeps any upside check in the resource-linked AUD. Besides, the US NFP release, the major will also get influenced by the broader market sentiment and Fedspeaks in the day ahead.
The pair finds the immediate resistance at 0.7428/33 (1h 200-SMA/ daily top) above which gains could be extended to the next hurdle located 0.7450 (20-DMA) and 0.7505 (Nov 17 high). On the flip side, the immediate support located 0.7400 (round number). Selling pressure is likely to intensify below the last, dragging the Aussie to 0.7381 (daily S1) and below that at 0.7366 (Dec 1 low).
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