AUD/USD: wait-and-see mode ahead of first-tier data later this week
AUD/USD Current price: 0.7398
- AUD/USD stuck to a 20 pips' range around 0.7400 as markets are in pause.
- The US will release Pending Home Sales and the Dallas Fed Manufacturing Index.
Equities are trading with a soft tone worldwide, and so does the Aussie, although not far from 0.7400 against the greenback, as the sour tone of indexes is being offset by firmer commodities´ prices. The AUD/USD pair trades in a 20 pips' range ever since the day started, with the daily low having been set so far at 0.7385. There were no macroeconomic releases in Australia that could affect the pair, although several macro figures will be out this week, alongside with Chinese ones. Additionally, the US will present PCE inflation and monthly employment figures, while the Fed will have its monetary policy meeting next Wednesday, which could exacerbate the current ranges until then.
The US will release later today June Pending Home Sales, expected to have fallen by 6.0% in June following a -2.2% in May. The country will also release the Dallas Fed Manufacturing Business Index for July, foreseen at 31.0 from June's 36.5.
The technical picture is mild negative, as in the 4 hours chart, attempts to recover ground were contained by a congestion of moving averages, while technical indicators hold within negative levels, despite losing their downward strength. The 0.7370 region is an immediate strong static support, while sellers are aligned in the 0.7440/50 price zone. Seems unlikely that the pair can move out of such range today.
Support levels: 0.7370 0.7330 0.7300
Resistance levels: 0.7445 0.7485 0.7520
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.
