Slobodan Drvenica
Windsor Brokers
AUDUSD
The Aussie spiked above strong barrier at 0.7440 on Thursday after Australian unemployment fell to four-month low at 5.7% in April and 37.4K new jobs added that heavily beat forecast for 5.0K rise.
The pair rallied to fresh over two-week high at 0.7464 on solid data, but gains were so far short-lived and capped just under strong barrier provided by daily Kijun-sen line. Subsequent pullback below 0.7440 pivot put pressure on lower trigger at 0.7400 zone, signaling risk of reversal on break lower.
With overall bias being with bears and daily slow stochastic reversing from overbought zone, risk of recovery rally stall increases.
Yesterday’s long-legged Doji signaled indecision, with today’s action being so far in the same shape that would signal that recovery phase from 0.7327 low is running out of steam.
Firm break below 0.7400 pivot (reinforced by daily Tenkan-sen / 10SMA would generate stronger reversal signal.
Meantime, the pair may spend some time in extended consolidation between daily Tenkan-sen and Kijun-sen boundaries, before establishing in fresh direction.
Firm break above daily Kijun-sen pivot will be bullish.
Res: 0.7444; 0.7467; 0.7500; 0.7544
Sup: 0.7406; 0.7395; 0.7376; 0.7364
Interested in AUDUSD technicals? Check out the key levels
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.
Recommended Content
Editors’ Picks
AUD/USD remained bid above 0.6500
AUD/USD extended further its bullish performance, advancing for the fourth session in a row on Thursday, although a sustainable breakout of the key 200-day SMA at 0.6526 still remain elusive.
EUR/USD faces a minor resistance near at 1.0750
EUR/USD quickly left behind Wednesday’s small downtick and resumed its uptrend north of 1.0700 the figure, always on the back of the persistent sell-off in the US Dollar ahead of key PCE data on Friday.
Gold holds around $2,330 after dismal US data
Gold fell below $2,320 in the early American session as US yields shot higher after the data showed a significant increase in the US GDP price deflator in Q1. With safe-haven flows dominating the markets, however, XAU/USD reversed its direction and rose above $2,340.
Bitcoin price continues to get rejected from $65K resistance as SEC delays decision on spot BTC ETF options
Bitcoin (BTC) price has markets in disarray, provoking a broader market crash as it slumped to the $62,000 range on Thursday. Meanwhile, reverberations from spot BTC exchange-traded funds (ETFs) continue to influence the market.
US economy: slower growth with stronger inflation
The dollar strengthened, and stocks fell after statistical data from the US. The focus was on the preliminary estimate of GDP for the first quarter. Annualised quarterly growth came in at just 1.6%, down from the 2.5% and 3.4% previously forecast.