AUD/USD: pressuring key resistance area

Valeria Bednarik FXStreet

AUD/USD Current price: 0.7362

Australian data beat expectations helping Aussie to hold on to recent gains.
US FOMC Meeting's Minutes have little chances of boosting a USD recovery.

Having spent most of the day in negative territory, the AUD/USD pair picks up on renewed pressure on the greenback, as ever since Trump talk last Monday, market players are taking every political header as a chance to sell the greenback. This time, were comments from the lawyer of Michael Cohen, President Trump's former personal lawyer and fixer, who said that there is "no dispute" that the President committed a crime. Australian data released earlier today was pretty encouraging, as the Westpac–Melbourne Institute Leading Index, rose from –0.06% in June to +0.55% in July. The Q2 Construction Work Done more than doubled market's forecast, printing 1.6%. vs. the expected 0.7%. while the previous reading was revised to 2.4% from 0.2%.

The AUD/USD pair trimmed early losses and struggles around its daily opening, also the 61.8% retracement of its latest decline. The pair has been unable to clear this area but keeps pressuring it, somehow anticipating some additional gains ahead, moreover if the upcoming FOMC Meeting's Minutes fail to motivate dollar's bulls. In the 4 hours chart, the price remains firm above a bullish 20 SMA, with this last converging with the 50% retracement of the mentioned slide at around 0.7330, also above its 100 SMA. Technical indicators in the mentioned chart offer upward slopes within positive territory, having completed a downward correction from overbought readings, adding to the bullish case.

Support levels: 0.7335 0.7300 0.7270

Resistance levels: 0.7380 0.7410 0.7445

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 hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.