AUD/USD Current Price: 0.7020

  • Chinese trade surplus with the US kept widening in June.
  • Aussie underpinned by Wall Street reaching record highs.
  • AUD/USD short-term picture suggest upward exhaustion.

The AUD/USD pair got boosted by the positive momentum of Wall Street, ending the week at 0.7020, up for a third consecutive day. Chinese trade data released Friday underpinned the Aussie, as despite exports and imports declined in June, the country’s trade surplus was $50.98 billion, up from $41.65 billion in May. China’s exports in dollar terms fell by 1.3% while imports were down by 7.3%, as the country battles to contain the effects of the trade war launched by the US. China’s trade surplus with the U.S. was $29.92 billion in June, up from $26.89 in May, showing that tariffs are not working as expected, with Beijing baring quite well with them.

Australia won’t release relevant data at the beginning of the week, but Chinese calendar will be quite busy, and will likely determine market’s direction, as the country will release, among others, Q2 GDP, seen at 6.2% vs. the previous 6.4%. Other relevant figures will be June Retail Sales, seen up by 8.3%, and Industrial Production predicted to have increased by 5.2% YoY.

AUD/USD short-term technical outlook

The AUD/USD pair trimmed most of the previous weekly loses, but failed to confirm a bullish breakout, as ever since last May, it has been unable to extend gains when reaching the current price zone. In the daily chart, the rally stalled around a mild bearish 100 DMA, while technical indicators stand within positive ground, heading higher with uneven strength. Shorter term, and according to the 4 hours chart, the pair settled above all of its moving averages, which maintain their bullish slopes, although technical indicators are giving signs of upward exhaustion within overbought levels. The pair needs to run through 0.7050 to be able to extend its gains toward the 0.7100 region.

Support levels: 0.6995 0.6950 0.6915  

Resistance levels: 0.7050 0.7095 0.7130

View Live Chart for the AUD/USD

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Analysis feed

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex Analysis

Editors’ Picks

EUR/USD chops around amid end-of-month flows, ahead of Trump

EUR/USD is battling 1.11, close to the two-month highs amid choppy trading. Hopes for a fiscal boost in Europe and mixed satisfactory data have supported the currency pair. , Sino-American tensions are rising and investors await President Trump's China announcement.


GBP/USD advances amid US dollar weakness, shrugging off concerns

GBP/USD is trading above 1.23, edging higher amid US dollar weakness and Britain's gradual reopening. Intensifying Sino-American tensions and the Brexit impasse are ignored. 


Cryptocurrencies: $348M in matured derivatives boost the market

Futures and options contracts' expiration brings a wave of volatility to the crypto market. Ethereum takes advantage and attacks resistances in the market dominance chart, Bitcoin goes back. Ripple disappoints despite regaining the third place in market capitalization.

Read more

Canada's economy falls by 8.2% annualized in Q1, better than expected, USD/CAD shakes

The Canadian economy squeezed by an annualized rate of 8.2% in the first quarter of 2020, better than -10% expected. Quarterly, Gross Domestic Product (GDP) squeezed by 2.1%. Most of the downfall occurred in March, with a drop of 7.2%, better than 8.5% projected. 

Read more

WTI drops 4% and eyes $32 mark amid risk-off, weakening demand

The selling pressure around WTI (July futures on Nymex) accelerates following the break below the 33 level, as bears now target the 32 support zone heading into the key US macro data and US President Donald Trump’s response to the Hong Kong issue.

Oil News

Forex Majors