AUD/USD analysis: at weekly highs ahead of key employment data

Valeria Bednarik FXStreet

AUD/USD Current price: 0.7782

Australian March employment figures to determine the pair's moves.
AUD/USD key resistance at 0.7820, the 50% retracement of December/January rally.

After trading as low as 0.7743, the AUD/USD pair posted a sharp u-turn in the US session and jumped to its highest in almost a week, flirting the 0.7800 to settle a few pips below it, amid dollar's weakness and persistent commodities' strength. Oil prices reach fresh 2018 highs, while gold and in general base metals, surge to fresh weekly highs, all of which tends to benefit the Aussie. Furthermore, equities maintained the positive tone, despite the rallies were far more moderated this Wednesday. The pair will face a major macroeconomic challenge during the upcoming Asian session, the Australian monthly jobs' report. The unemployment rate is expected to have decreased to 5.5% in March, while the economy is expected to report 21.0K new jobs added in the month. The market will be closely watching the full-time employment change, which has posted a large 64.9K increase in February. A better-than-expected report will probably be enough to send the pair beyond the 0.7820 level, a major Fibonacci support, with sustained gains above it favoring a continued rally for the following sessions. Short-term technical readings present a neutral-to-bullish stance, as the pair is holding above directionless moving averages, while technical indicators pulled back down to their mid-lines.

Support levels: 07740 0.7700 0.7765

Resistance levels: 0.7820 0.7850 0.7885

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Author

Valeria Bednarik

FXStreet

Valeria Bednarik was born and lives in Buenos Aires, Argentina. Her passion for math and numbers pushed her into studying economics in her younger years.

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