- AUD/USD stalls rebound amid growing Omicron concerns in Australia.
- DXY traders remain in a wait-and-see mode amid light trading.
- Focus shifts to US economic data for fresh trading impetus.
AUD/USD is defending minor bids above 0.7200, having staged a modest comeback from the Asian session lows of 0.7213.
The bulls are losing steam amid a cautious tone prevalent in the market, courtesy of the looming risks from the Omicron covid variant contagion.
Omicron covid cases exploded and the hospitalization rate rose across Australia on Wednesday, prompting Prime Minister Scott Morrison to schedule an emergency national cabinet meeting ahead of schedule on Thursday.
Earlier on, the aussie’s rebound was triggered by encouraging news on the Sino-Australian trade front. China’s Commerce Ministry announced that Beijing is raising the import quota on Australian wool in 2022 to 40,203 tonnes. The latest statement from China suggests easing of the trade tensions between the two close trading partners.
Amid thin year-end liquidity conditions, the US dollar and the Treasury yields remain on the defensive aiding the recovery in the aussie pair. The dollar bulls shrug off the rising inflation expectations and bets of March Fed rate hike, as year-end flows remain in play.
Next of relevance for the pair remains the US Trade data and Pending Home Sales for fresh trading impetus. Omicron updates worldwide will be also closely followed.
AUD/USD: Additional levels to consider
|Today last price||0.7230|
|Today Daily Change||0.0000|
|Today Daily Change %||0.00|
|Today daily open||0.723|
|Previous Daily High||0.7265|
|Previous Daily Low||0.7218|
|Previous Weekly High||0.7253|
|Previous Weekly Low||0.7081|
|Previous Monthly High||0.7537|
|Previous Monthly Low||0.7063|
|Daily Fibonacci 38.2%||0.7236|
|Daily Fibonacci 61.8%||0.7247|
|Daily Pivot Point S1||0.721|
|Daily Pivot Point S2||0.7191|
|Daily Pivot Point S3||0.7164|
|Daily Pivot Point R1||0.7257|
|Daily Pivot Point R2||0.7284|
|Daily Pivot Point R3||0.7303|
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.