AUD/USD analysis: breaking higher ahead of key Australian employment data

Valeria Bednarik FXStreet

AUD/USD Current price: 0.8011

Australian economy expected to have added 9,000 new jobs in December.
The Aussie's bullish momentum needs to survive AUD employment and Chinese releases this Thursday.

The Aussie surged above 0.80 against the greenback for the first time in almost four months, as the American currency resumed its slide in the US afternoon. Australian macroeconomic data released at the beginning of the day gave support to the local currency, as home loans rose 2.1% MoM in November, reversing October's 0.6% fall. The value of loans rose 2.3% from previous 0.6%, largely surpassing market's expectations. This Thursday, Australia will release its December employment figures, usually a big market mover. Forecasts suggest that the unemployment rate will remain steady at 5.4%, while the economy is expected to have added 9,000 new jobs in the month. But that's not the only challenge the AUD will face today, as China will also publish market-moving news, including Q4 GDP, and December Retail Sales and Industrial Production. The pair is technically bullish, and technical readings in the 4 hours chart support additional gains ahead, as the pair bounced again from a bullish 20 SMA, while technical indicators resumed their advances, the Momentum from above its 100 level and the RSI currently entering overbought conditions.

Support levels: 0.7960 0.7920 0.7890

Resistance levels: 0.8030 0.8075 0.8110

View Live Chart for the AUD/USD

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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