AUD/USD analysis: bulls hesitate, but still lead

Valeria Bednarik FXStreet

AUD/USD Current price: 0.8002

The Australian dollar edged modestly higher on Friday to end the week around 0.8000, down from a daily high of 0.8034. There were no news coming from Australia, but sluggish US inflation data released on Thursday's keep the Aussie afloat, alongside with Friday' US disappointing readings. Despite the yield differential favors the AUD against the greenback, speculative interest is still unwilling to push the price far above the 0.8000 threshold, although the upward is still favored according to the daily chart, as the price held above a bullish 20 DMA after a brief dip below it on North Korean headlines, whilst technical indicators have managed to regain the upside within positive territory. Shorter term, and according to the 4 hours chart, the upward potential is limited, given that the price is unable to clearly break above a bearish 20 SMA, whilst technical indicators show little directional strength within neutral territory. Some follow-through beyond 0.8035, the immediate resistance and Friday's high is needed to confirm a new leg higher, with scope them to retest the 0.8100 level.

Support levels: 0.7960 0.7930 0.7900

Resistance levels: 0.8035 0.8065 0.8100

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.

EUR/USD stays defensive below 1.1900 as USD recovers

EUR/USD trades in negative territory for the third consecutive day, below 1.1900 in the European session on Thursday. A modest rebound in the US Dollar is weighing on the pair, despite an upbeat market mood. Traders keep an eye on the US weekly Initial Jobless Claims data for further trading impetus.

GBP/USD holds above 1.3600 after UK data dump

\GBP/USD moves little while holding above 1.3600 in the European session on Thursday, following the release of the UK Q4 preliminary GDP, which showed a 0.1% growth against a 0.2% increase expected. The UK industrial sector activity deteriorated in Decembert, keeping the downward pressure intact on the Pound Sterling.

Gold sticks to modest intraday losses as reduced March Fed rate cut bets underpin USD

Gold languishes near the lower end of its daily range heading into the European session on Thursday. The precious metal, however, lacks follow-through selling amid mixed cues and currently trades above the $5,050 level, well within striking distance of a nearly two-week low touched the previous day.

Cardano eyes short-term rebound as derivatives sentiment improves

Cardano (ADA) is trading at $0.257 at the time of writing on Thursday, after slipping more than 4% so far this week. Derivatives sentiment improves as ADA’s funding rates turn positive alongside rising long bets among traders.

The market trades the path not the past

The payroll number did not just beat. It reset the tone. 130,000 vs. 65,000 expected, with a 35,000 whisper. 79 of 80 economists leaning the wrong way. Unemployment and underemployment are edging lower. For all the statistical fog around birth-death adjustments and seasonal quirks, the core message was unmistakable. The labour market is not cracking.

Sonic Labs’ vertical integration fuels recovery in S token

Sonic, previously Fantom (FTM), is extending its recovery trade at $0.048 at the time of writing, after rebounding by over 12% the previous day. The recovery thesis’ strengths lie in the optimism surrounding Sonic Labs’ Wednesday announcement to shift to a vertically integrated model, aimed at boosting S token utility.