AUD/USD drops to 0.7030 area as USD starts to gather strength


  • AUD/USD struggles to stage a convincing recovery on Friday.
  • US Dollar Index rose above 94.50 ahead of American session.
  • Risk-aversion helps greenback find demand as a safe-haven.

The AUD/USD pair closed the first four days of the week in the negative territory. Although the pair staged a rebound and rose to a daily high of 0.7086 on Friday, it reversed its course on broad-based USD strength and was last seen losing 0.2% on the day at 0.7030.

USD capitalizes on safe-haven flows

On Thursday, a decisive recovery witnessed in Wall Street's main indexes in the second half of the session made it difficult for the safe-haven greenback to continue to outperform its rivals.

However, the risk-off market environment, as reflected by the sharp decline seen in European stocks, is helping the US Dollar Index (DXY) push higher on Friday. Confirming the dismal mood, the S&P 500 futures are down 0.8% on the day. At the moment, the DXY is gaining 0.26% at 94.58.

Later in the day, Durable Goods Orders for August will be the only data featured in the US economic docket. Unless there is a large divergence between the actual print and the market consensus of 1.5%, the risk perception is likely to remain the primary driver of AUD/USD's action.

New York Federal Reserve President John Williams is scheduled to deliver a speech at 1910 GMT as well.

Technical levels to watch for

AUD/USD

Overview
Today last price 0.7035
Today Daily Change -0.0011
Today Daily Change % -0.16
Today daily open 0.7046
 
Trends
Daily SMA20 0.7267
Daily SMA50 0.7203
Daily SMA100 0.7002
Daily SMA200 0.6773
 
Levels
Previous Daily High 0.7086
Previous Daily Low 0.7016
Previous Weekly High 0.7346
Previous Weekly Low 0.7254
Previous Monthly High 0.7416
Previous Monthly Low 0.7076
Daily Fibonacci 38.2% 0.7042
Daily Fibonacci 61.8% 0.7059
Daily Pivot Point S1 0.7012
Daily Pivot Point S2 0.6979
Daily Pivot Point S3 0.6942
Daily Pivot Point R1 0.7083
Daily Pivot Point R2 0.712
Daily Pivot Point R3 0.7154

 

 

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.

Feed news

Latest Forex News


Latest Forex News

Editors’ Picks

AUD/USD fuelled 0.2% by strong PMI Composite in early Asia

AUD is up on the day so far as early data gives the bulls a head start. Early Asia has been kind to Aussie bulls with the price of the currency extending its late New York gains with a robust Construction PMI report, solidly above the 50.0 expansion level, arriving at 54.2.

AUD/USD News

NZD/USD bullish bets above 0.6690 marked down by CPI miss

NZD/USD bulls have been stopped in their tracks by the miss in the CPI data. The US dollar found a lease of life on Wall Street, bulls encouraged by data. New Zealand's CPI was released in recent trade which has changed the bird's flight trajectory in early Asia.

NZD/USD News

XAU/USD’s reversal extends to $1,900 area

Gold’s upside attempt witnessed on Wednesday has been short-lived as the precious metal was unable to extend gains beyond $1.930 area. XAU/USD has given away gains on Thursday, with US dollar demand picking up amid a sourer market sentiment and upbeat US macroeconomic figures.

Gold News

2020 US Elections: The final presidential debate

The second and final presidential debate between Donald Trump and Joe Biden promises to be a political event of the first magnitude. Mr. Biden leads in national polling by 7.9%, though the race has been tightening over the past two weeks, on October 11 was his margin was 10.3%.

Read more

WTI bulls keep the fuell buring into Wall Street close

West Texas Intermediate crude oil is higher on the day, although has run into resistance and started to consolidate.

Oil News

Forex MAJORS

Cryptocurrencies

Signatures