AUD/USD finds support near 0.6550, stages modest rebound ahead of US data


  • AUD/USD failed to hold above 0.6600 on Wednesday.
  • Sour market sentiment weighs on risk-sensitive AUD on Thursday.
  • Greenback stays relatively quiet ahead of US data dump.

The AUD/USD pair rose to its highest level since early-March at 0.6618 on Wednesday before going into a consolidation phase. After dropping to a daily low of 0.6549 on Thursday, the pair staged a modest recovery and was last seen trading at 0.6575, where it was still down 0.33% on a daily basis.

RBA's Lowe dismisses negative rates

While speaking to a panel at FINSIA's "The Regulators" Webinar on Thursday, Reserve Bank of Australia (RBA) Governor Phillip Lowe said the economic recovery was expected to be very slow without a COVID-10 medical breakthrough. Regarding the policy outlook, Lowe reiterated that the implementation of negative interest rates was still "extraordinarily unlikely" but failed to help the AUD find demand.

Meanwhile, the cautious market mood seems to be making it difficult for AUD/USD to extend its rebound. At the moment, the S&P 500 futures are down 0.5% to suggest that Wall Street is likely to open the day in the negative territory.

Meanwhile, the US Dollar Index is staying unchanged on the day near 99.15 ahead of key data releases from the US. In addition to the weekly Initial Jobless Claims, Existing Home Sales and Markit's Manufacturing and Services PMI data will highlight the economic calendar during the American session.

If the data causes a fresh wave of flight-to-safety, the greenback could start gathering strength as a safe-haven and force the pair to push lower.

Technical levels to watch for

AUD/USD

Overview
Today last price 0.6576
Today Daily Change -0.0022
Today Daily Change % -0.33
Today daily open 0.6598
 
Trends
Daily SMA20 0.6472
Daily SMA50 0.6273
Daily SMA100 0.6503
Daily SMA200 0.6663
 
Levels
Previous Daily High 0.6617
Previous Daily Low 0.6524
Previous Weekly High 0.6562
Previous Weekly Low 0.6401
Previous Monthly High 0.657
Previous Monthly Low 0.598
Daily Fibonacci 38.2% 0.6581
Daily Fibonacci 61.8% 0.656
Daily Pivot Point S1 0.6542
Daily Pivot Point S2 0.6487
Daily Pivot Point S3 0.6449
Daily Pivot Point R1 0.6635
Daily Pivot Point R2 0.6673
Daily Pivot Point R3 0.6728

 

 

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