AUD/USD flirts with session lows, around 0.6530 level

  • AUD/USD witnessed some follow-through selling for the second straight session on Friday.
  • Escalating US-China tensions benefitted the safe-haven USD and exerted some pressure.
  • The aussie was further pressured by Fitch’s decision to lower Australia's outlook to negative.

The AUD/USD pair remained depressed for the second straight session on Friday and was last seen trading near the lower end of its daily trading range, around the 0.6535-30 region.

The pair extended this week's retracement slide from multi-week tops – levels beyond the 0.6600 mark set on Wednesday – and was being weighed down by worsening US-China relations. Diplomatic tensions between the world's two largest economies escalated further after Zhang Yesui, speaker for the National People’s Congress (NPC), said on Thursday that China will firmly defend its interests if the US does things that undermine China's core interests.

Adding to this, China's decision to impose new Hong Kong security law further fueled concerns about a major US-China tussle. The latest developments forced took its toll on the global risk sentiment and forced investors to take refuge in the safe-haven US dollar, which, in turn, prompted some follow-through selling around the perceived riskier currency – the aussie.

This coupled with the rating agency Fitch's decision to cut Australia's outlook to negative from stable exerted some additional downward pressure on the Australian dollar and contributed to the offered tone surrounding the AUD/USD pair.

Despite the pullback, the pair has still managed to hold above the 100-day SMA resistance breakpoint-turned-support near the key 0.6500 psychological mark. Hence, it will be prudent to wait for some strong follow-through selling before confirming that the AUD/USD pair might have already topped out in the near-term and positioning for any further near-term depreciating move.

Technical levels to watch


Today last price 0.6534
Today Daily Change -0.0031
Today Daily Change % -0.47
Today daily open 0.6565
Daily SMA20 0.6481
Daily SMA50 0.628
Daily SMA100 0.6499
Daily SMA200 0.6662
Previous Daily High 0.66
Previous Daily Low 0.6548
Previous Weekly High 0.6562
Previous Weekly Low 0.6401
Previous Monthly High 0.657
Previous Monthly Low 0.598
Daily Fibonacci 38.2% 0.6568
Daily Fibonacci 61.8% 0.658
Daily Pivot Point S1 0.6542
Daily Pivot Point S2 0.6519
Daily Pivot Point S3 0.6489
Daily Pivot Point R1 0.6594
Daily Pivot Point R2 0.6624
Daily Pivot Point R3 0.6647



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

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News

Editors’ Picks

EUR/USD chops around amid end-of-month flows, ahead of Trump

EUR/USD is battling 1.11, close to the two-month highs amid choppy trading. Hopes for a fiscal boost in Europe and mixed satisfactory data have supported the currency pair. , Sino-American tensions are rising and investors await President Trump's China announcement.


GBP/USD advances amid US dollar weakness, shrugging off concerns

GBP/USD is trading above 1.23, edging higher amid US dollar weakness and Britain's gradual reopening. Intensifying Sino-American tensions and the Brexit impasse are ignored. 


Cryptocurrencies: $348M in matured derivatives boost the market

Futures and options contracts' expiration brings a wave of volatility to the crypto market. Ethereum takes advantage and attacks resistances in the market dominance chart, Bitcoin goes back. Ripple disappoints despite regaining the third place in market capitalization.

Read more

Canada's economy falls by 8.2% annualized in Q1, better than expected, USD/CAD shakes

The Canadian economy squeezed by an annualized rate of 8.2% in the first quarter of 2020, better than -10% expected. Quarterly, Gross Domestic Product (GDP) squeezed by 2.1%. Most of the downfall occurred in March, with a drop of 7.2%, better than 8.5% projected. 

Read more

WTI drops 4% and eyes $32 mark amid risk-off, weakening demand

The selling pressure around WTI (July futures on Nymex) accelerates following the break below the 33 level, as bears now target the 32 support zone heading into the key US macro data and US President Donald Trump’s response to the Hong Kong issue.

Oil News