AUD/USD Current price: 0.7430
- Aussie finding support in the positive tone of equities, dollar's weakness.
- AUD/USD topped in the 0.7440/50 region in the past three weeks.
The AUD/USD pair closed at 0.7430, a few pips below a daily high of 0.7443, underpinned by dollar's weakness and the positive tone of equities. The Aussie plunged at the beginning of the week, following an unsurprising RBA and soft housing data that suggested rates will remain at record lows at least until 2020, and trade tensions between China and the US. The commodity-linked currency, however, later recovered as equities' traders shrug off concerns about a trade war, while the greenback fell out of market's favor. AUD/USD traders will pay attention to Chinese headlines this week, as the country will release June inflation among other figures. Next Tuesday, Australia will release the NAB's business confidence and conditions indexes, seen improving in June from May's readings. The daily chart for the pair shows that it settled above a bearish 20 SMA and well below bearish 100 and 200 SMA, while technical indicators head north, the Momentum above its mid-line but the RSI currently at 49, somehow indicating a limited upward potential. In the 4 hours chart, the upside seems more constructive, as the pair settled above its 20 and 100 SMA, with the shorter crossing above the larger one, as technical indicators hold well above their midlines, barely losing upward strength near overbought levels. The pair topped in the 0.7440/50 region in the past three weeks, with a break above it needed to confirm additional gains ahead.
Support levels: 0.7400 0.7370 0.7335
Resistance levels: 0.7445 0.7480 0.7510
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
AUD/USD risks a deeper drop in the short term
AUD/USD rapidly left behind Wednesday’s decent advance and resumed its downward trend on the back of the intense buying pressure in the greenback, while mixed results from the domestic labour market report failed to lend support to AUD.
EUR/USD extends its downside below 1.0650 on hawkish Fed remarks
The EUR/USD extends its downside around 1.0640 after retreating from weekly peaks of 1.0690 on Friday during the early Asian session. The hawkish comments from Federal Reserve officials provide some support to the US Dollar.
Gold price edges higher on risk-off mood hawkish Fed signals
Gold prices advanced late in the North American session on Thursday, underpinned by heightened geopolitical risks involving Iran and Israel. Federal Reserve officials delivered hawkish messages, triggering a jump in US Treasury yields, which boosted the Greenback.
Bitcoin Price Outlook: All eyes on BTC as CNN calls halving the ‘World Cup for Bitcoin’
Bitcoin price remains the focus of traders and investors ahead of the halving, which is an important event expected to kick off the next bull market. Amid conflicting forecasts from analysts, an international media site has lauded the halving and what it means for the industry.
Is the Biden administration trying to destroy the Dollar?
Confidence in Western financial markets has already been shaken enough by the 20% devaluation of the dollar over the last few years. But now the European Commission wants to hand Ukraine $300 billion seized from Russia.