AUD/USD extends sideways grind above 0.7350 as trading conditions remain thin


  • AUD/USD is moving up and down in a very narrow range.
  • US Dollar Index posts modest gains above 92.00 on Thursday.
  • Trading action is likely to remain subdued in the remainder of the day.

The AUD/USD pair closed the previous day virtually unchanged and continues to have a difficult time finding direction on Thursday. As of writing, the pair was flat on the day at 0.7363.

DXY retraces Wednesday's drop in quiet day

On Wednesday, the data from the US showed that the trade deficit widened to $80.29 billion in October from $79.36 billion and the weekly Initial Jobless Claims climbed to 778,000 from 748,000 last week. On a positive note, the US Bureau of Economic Analysis left the third-quarter GDP growth unchanged at 33.1% in its second estimate and the Durable Goods Orders rose more than expected in October.

Although the greenback largely ignored these data releases, the FOMC Minutes in the late American session caused the US Dollar Index to drop below 92.00. The publication revealed that policymakers didn't see the need to adjust the pace or the composition of asset purchases. However, policymakers further noted that the Fed could provide more stimulus by shifting to longer maturities or increasing the pace of purchases.

The US Dollar Index (DXY) dropped to its lowest level since early September at 91.84 during the Asian trading hours but staged a rebound on Thursday. As of writing, the DXY was was up 0.15% on the day at 92.13.

There won't be any significant macroeconomic data releases in the remainder of the week and the pair is likely to continue to fluctuate in its range with the Thanksgiving Day holiday in the US causing trading volumes to thin out. 

Technical levels to watch for

AUD/USD

Overview
Today last price 0.736
Today Daily Change -0.0008
Today Daily Change % -0.11
Today daily open 0.7368
 
Trends
Daily SMA20 0.7243
Daily SMA50 0.7181
Daily SMA100 0.7179
Daily SMA200 0.685
 
Levels
Previous Daily High 0.7374
Previous Daily Low 0.7324
Previous Weekly High 0.734
Previous Weekly Low 0.7254
Previous Monthly High 0.7244
Previous Monthly Low 0.7002
Daily Fibonacci 38.2% 0.7355
Daily Fibonacci 61.8% 0.7343
Daily Pivot Point S1 0.7337
Daily Pivot Point S2 0.7306
Daily Pivot Point S3 0.7288
Daily Pivot Point R1 0.7387
Daily Pivot Point R2 0.7405
Daily Pivot Point R3 0.7436

 

 

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

EUR/USD hits fresh one-month low amid souring market mood

EUR/USD has been extending its falls and dips below 1.21 as US retail sales badly disappointed and the worsening mood is supporting the safe-haven dollar. Markets digest Biden's stimulus plan. US Consumer Sentiment declined to 59.2 points. 

EUR/USD News

GBP/USD retreats toward 1.36 amid fresh dollar strength

GBP/US has pared its gains and falls toward 1.36 as the dollar gains ground. The UK economy shrank by 2.6% in November, better than estimated. The UK is ramping up its vaccination campaign and PM Johnson is pressured to ease the lockdown. 

GBP/USD News

Gold extends sideways grind near $1,850

The XAU/USD pair registered small daily gains on Thursday but struggled to extend its recovery amid a lack of significant fundamental drivers on Friday. As of writing, the pair was up 0.15% on a daily basis at $1,849.

Gold news

Forex Today: Markets “sell the fact” on Biden's stimulus, dollar rises, retail sales eyed

Markets are on the back foot after Biden hinted about tax hikes while introducing stimulus. The safe-haven dollar is edging higher despite Powell's pledge to keep monetary policy accommodative. 

Read more

DXY breaks above key downtrend, eyes move above 91.00

USD has been strongly supported on what has shaped up to be a very much risk off final trading day of the week. Most G10/USD pairs have seen significant weakness, aside from CHF/USD and JPY/USD, given that the two currencies are also considered “safe havens”.

US Dollar Index News

Forex MAJORS

Cryptocurrencies

Signatures