AUD/USD looking to retake 0.7800 level ahead of remarks from Powell


  • AUD/USD has been picking up in recent trade and now looks to retake the 0.7800 level
  • A pickup in commodity prices and risk appetite is helping risk-sensitive currencies like AUD.
  • Looking ahead, comments from Fed Chair Jerome Powell at 17:05GMT will be the major focus for FX markets.

AUD/USD has been picking up in recent trade and now looks to retake the 0.7800 level, having rebounded from its 21-day moving average in the 0.7770s earlier in the session. A break above the 0.7800 level might open the door to a move back to Wednesday’s close to 0.7840 highs. At present, the pair is trading with gains of about 0.3% or 25 pips on the day.

Driving the day

Bullish OPEC+ headlines (OPEC+, in a surprise to markets, are said to be close to rolling over current output quotas for April, rather than increasing them) is giving crude oil markets a massive boost (WTI is currently more than 5% higher on the day and above the $64.00 level). This is giving commodity-linked currencies such as AUD (and also NZD and CAD) a boost. US data (Weekly Jobless Claims were in line with expectations) did not impact FX.

Data out of Australia was mixed last night, with the final estimate for Retail Sales growth in January coming in a touch weaker than anticipated at +0.5% MoM (exp. 0.6%) but the country’s trade surplus on the month coming in well above expectations at AUD 10.142B (exp. 6.5B), amid a 6% MoM jump in exports and a 2% MoM drop in imports. This was a record high monthly trade surplus and Capital Economics comment that “the rise in exports values was largely driven by a 14.2% m/m rise in iron ore exports due to the recent rally in iron ore prices”.

Looking ahead, comments from Fed Chair Jerome Powell at 17:05GMT will be the major focus for FX markets. Markets will be on notice for any comments Powell makes on 1) the recent rise in bond yields and 2) what policies the Fed might employ to calm things down if the rising in bond yields accelerates.

AUD/USD

Overview
Today last price 0.78
Today Daily Change 0.0017
Today Daily Change % 0.22
Today daily open 0.7783
 
Trends
Daily SMA20 0.7781
Daily SMA50 0.7729
Daily SMA100 0.7519
Daily SMA200 0.7304
 
Levels
Previous Daily High 0.7838
Previous Daily Low 0.777
Previous Weekly High 0.8008
Previous Weekly Low 0.7692
Previous Monthly High 0.8008
Previous Monthly Low 0.7562
Daily Fibonacci 38.2% 0.7796
Daily Fibonacci 61.8% 0.7812
Daily Pivot Point S1 0.7757
Daily Pivot Point S2 0.773
Daily Pivot Point S3 0.7689
Daily Pivot Point R1 0.7824
Daily Pivot Point R2 0.7865
Daily Pivot Point R3 0.7892

 

 

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

Take advantage of market volatility with our daily Forex, Crypto and Indices Trade Ideas!

Become Premium!    

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD holds on to weekly gains, aims to 1.2100

EUR/USD pressures this week high at 1.2079 after the EU services sector moved back into expansion territory according to Markit, the first time since August.

EUR/USD News

GBP/USD extends decline towards the 1.3800 price zone

Upbeat UK data fell short of boosting the pound, hurt by Brexit jitters in Ireland. US macroeconomic figures making the difference in the dollar’s favor.

GBP/USD News

Bitcoin, Ethereum and XRP plummet, breaching critical support levels

Bitcoin price has dropped 12.7% since yesterday and shows no signs of stopping. Ethereum price follows the pioneer crypto’s lead and might retest $2,000 again. Unlike BTC or ETH, XRP price shows signs of recovery as long as it stays above a critical demand zone.

Read more

XAU/USD drops below $1,780 area as US T-bond yields rebound

Gold lost its traction after climbing toward $1,800 on Friday. 10-year US Treasury bond yield is up nearly 2%. Latest PMI data from US underlined strong price pressures.

Gold News

Bionano Genomics Inc runs into technical resistance, put options may work here

BNGO shares have continued to suffer post the retail meme crowd moving on. BNGO shares bounce from lows as DeMark buy signal flashes on Monday. BNGO shares trend up to resistance at 100 day moving average.

Read more

Forex MAJORS

Cryptocurrencies

Signatures