AUD/USD on the sidelines below 0.7800

Tuesday saw the AUD/USD trapped in a 30-pip range.
Wednesday isn't looking much better with little meaningful data on the docket.

Joshua Gibson FXStreet

The AUD/USD has continued to middle this week, and the pair is hanging around 0.7770 in the overnight session.

The Aussie has been trapped within Friday's range for two consecutive trading days, and the trend is likely to continue with little data on the economic calendar for Wednesday to drive the AUD from its seat. Thursday will bring Australian unemployment figures at 01:30 GMT, and the seasonally adjusted Unemployment Rate for March is expected to decrease from 5.6 percent to 5.4, but with wage growth stifled within the Australian economy, an improving employment picture is unlikely to drive buyers very far.

RBA minutes: Gradual approach to policy - Westpac

The AUD's outlook continues to tilt to the bearish side as the Reserve Bank of Australia (RBA) muddles through slumping growth prospects, and as FXStreet's Ross Burland noted earlier, "from a fundamental perspective, the RBA minutes are supportive of a higher Aussie on the basis that the board leans with a hawkish bias, ( RBA said next move in rates was likely a hike), although there is a lack of conviction here and risks to such an outlook continue to accumulate."

AUD/USD Levels to watch

As stated by FXStreet's own Valeria Bednarik, "the pair is neutral-to-bullish according to technical readings in the 4 hours chart, developing above a modestly bullish 20 SMA, and with technical indicators lacking directional strength within positive territory. The pair is also above the 0.7740 Fibonacci level, which limits the risk of a downward move."

Support levels: 07740 0.7700 0.7765

Resistance levels: 0.7785 0.7820 0.7850

Author

Joshua Gibson

FXStreet

Joshua joins the FXStreet team as an Economics and Finance double major from Vancouver Island University with twelve years' experience as an independent trader focusing on technical analysis.

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