- China industrial production (Jan/Feb) blew past expectations.
- Retail sales narrowly missed estimates.
- So far, the AUD has added 10 pips, risk aversion could be capping gains.
However, so far, the AUD/USD has only managed to add 10 pips. As of writing, the currency pair is trading at 0.7870.
China reported 7.2 percent year-on-year rise in industrial production in January and February, which was way above the estimated drop to 6.2 percent from the December figure of 6.6 percent. Further, the fixed asset investment increased 7.0 percent, beating the estimate of 7 percent. Meanwhile, retail sales rose 9.7 percent, missing the estimate of 9.8 percent.
The data, though positive, is likely being taken by trades with a pinch of salt, given the Lunar New Year holidays usually distorts the economic numbers. Also, mild risk aversion as represented by a 0.20 percent decline in the S&P 500 futures could be capping the upside in the AUD/USD pair.
AUD/USD Technical Levels
Valeria Bednarik, Chief Analyst at FXStreet, writes, "technically the pair is trading at the upper end of the last three weeks' range, and in the 4 hours chart, above a bullish 20 SMA and the 200 EMA, which skews the risk toward the upside, although technical indicators lost upward momentum and turned lower within positive territory while the pair remains unable to surpass the major resistance mentioned above. A clear break above it, however, should see the pair nearing the 0.8000 figure during the upcoming sessions."
Support levels: 0.7820 0.7775 0.7740
Resistance levels: 0.7890 0.7920 0.7955
|TREND INDEX||OB/OS INDEX||VOLATILY INDEX|
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.