AUD/USD Price analysis: Reverses post-Aussie jobs data gains to snap four day rise
- AUD/USD refreshes intraday low after rising over 30 pips on Aussie employment data.
- Break of 21-day SMA drags the quote to a 50% Fibonacci retracement and six-week-old support line.
- Bulls need a daily closing beyond 0.7350 for fresh entries.
AUD/USD stands on a slippery ground while trading near 0.7265, intraday low of 0.7261, during the early Thursday. In doing so, the quote not only reverses its recent gains, grabbed after Australia’s August month employment data, but also stops the bulls after consecutive four days of run-up.
It should additionally be noted that the pair’s declines below the 21-day SMA highlight 50% of the Fibonacci retracement of its August-September upside, at 0.7245.
However, an upward sloping trend line from August 03 and 61.8% Fibonacci retracement level, respectively around 0.7215 and 0.7205, can challenge the bears before pleasing them with 50-day SMA, currently around .7180.
Alternatively, the 0.7300 round-figure may keep entertaining the short-term traders while a daily close beyond 0.7350 may direct the bulls towards the monthly peak of 0.7416.
It’s worth mentioning that the pair’s sustained rise past-0.7416 might not hesitate to question the July 2018 top near 0.7485.
AUD/USD daily chart
Trend: Further weakness expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
