AUD/USD climbs to daily highs near 0.7070 ahead of US data

AUD/USD slumps to lowest level in more than 2-years on Thursday.
USD weakness allows the pair to recover on Friday.
US Dollar Index extends decline toward 96.

Eren Sengezer FXStreet

The risk-off mood and the negative market surrounding commodities and related currencies weighed on the AUD/USD pair and forced it to plummet to its lowest level since February of 2016 at 0.7015. However, with the market sentiment improving slightly and the greenback continuing to weaken against its peers, the pair reversed its course and recovered a majority of yesterday's losses. As of writing, the pair was trading at 0.7066, adding 0.48% on a daily basis.

The dismal performance of the U.S. Treasury bond yields and concerns over the potential negative impact of the Fed's monetary policy on the economic growth caused the US Dollar Index to lose its traction and pull away from the 97 handle. Ahead of the housing and trade balance data from the U.S., the index is losing 0.35% on the day at 96.23.

In the meantime, with investors getting ready for the New Year break, the trading conditions are likely to remain thin at least until January 2nd.

Technical levels to consider

AUD/USD

Overview:
    Today Last Price: 0.7066
    Today Daily change: 32 pips
    Today Daily change %: 0.455%
    Today Daily Open: 0.7034
Trends:
    Previous Daily SMA20: 0.7176
    Previous Daily SMA50: 0.7189
    Previous Daily SMA100: 0.7199
    Previous Daily SMA200: 0.7364
Levels:
    Previous Daily High: 0.7078
    Previous Daily Low: 0.7014
    Previous Weekly High: 0.7204
    Previous Weekly Low: 0.7038
    Previous Monthly High: 0.7345
    Previous Monthly Low: 0.7072
    Previous Daily Fibonacci 38.2%: 0.7038
    Previous Daily Fibonacci 61.8%: 0.7054
    Previous Daily Pivot Point S1: 0.7006
    Previous Daily Pivot Point S2: 0.6978
    Previous Daily Pivot Point S3: 0.6942
    Previous Daily Pivot Point R1: 0.707
    Previous Daily Pivot Point R2: 0.7106
    Previous Daily Pivot Point R3: 0.7134

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

EUR/USD rises to 1.1800 neighborhood amid renewed USD selling and trade uncertainties

The EUR/USD pair regains positive traction during the Asian session on Wednesday and jumps to the 1.1800 neighborhood in the last hour, reversing the previous day's modest losses. The intraday move up is sponsored by the emergence of fresh US Dollar, which continues to be weighed down by persistent trade-related uncertainties.

GBP/USD remains stronger above 1.3500 following Trump’s State of the Union

GBP/USD remains in the positive territory for the fourth successive session, trading around 1.3510 during the Asian hours on Wednesday. The pair appreciates as the US Dollar remains subdued following US President Donald Trump’s first State of the Union address of his second administration before a joint session of Congress.

Gold re-attempts $5,200 amid tariffs and geopolitical woes

Gold buyers are back in the game early Wednesday after seeing a correction from monthly highs on Tuesday. The US Dollar slips after Trump’s SOTU fails to impress and as AI-driven worries ease. Dovish Fed bets also weigh. Gold looks north so long as the key 61.8% Fibo resistance at $5,142 holds on the daily chart.

Bitcoin, Ethereum and Ripple post cautious recovery amid downside risks

Bitcoin, Ethereum, and Ripple are posting a cautious recovery on Wednesday following a market correction earlier this week. BTC is approaching a key breakdown level, while ETH and XRP are rebounding from crucial support levels.

The Citrini report: How a debatable AI narrative can shake Wall Street

That AI-related headline alone was enough to rattle investors.US stocks slid sharply on Monday after a widely circulated Citrini Research memo outlined a hypothetical “2028 Global Intelligence Crisis”, warning that rapid AI adoption could push US unemployment into double digits as early as by mid-2028.

XRP pressured by weak ETF flows and declining retail interest

Ripple (XRP) is edging lower, trading above its intraday low of $1.32 at the time of writing on Tuesday. The decline from its weekly opening of $1.39 reflects heightened volatility in the broader cryptocurrency market, accentuated by tariff-triggered uncertainty.