AUD/USD retreats to 0.6000 area as market sentiment sours


  • US Dollar Index rebounds to 101.50 area ahead of US session.
  • US stock index futures fall into the negative territory.
  • US Durable Goods Orders in February is expected to decline by 0.8%.

The AUD/USD pair extended its recovery into the fourth straight day on Wednesday and touched a fresh weekly high of 0.6073 before erasing a large portion of its gains ahead of the American session. As of writing, the pair was trading at 0.6002, still adding 0.8% on a daily basis.

The souring market sentiment seems to be making it difficult for the risk-sensitive AUD to find demand in the last hour. Major European equity indexes slumped into the negative territory as the positive impact of the US announcement of a $2 trillion stimulus package started to fade away on Wednesday. Furthermore, US stock index futures made a sharp U-turn with the S&P 500 futures erasing 1% on the day.

DXY rebounds to 101.50

On the other hand, the US Dollar Index (DXY), which dropped to a session low of 101.05, is now trading near the 101.50 mark with small daily losses as the greenback is finding demand as a relatively safer alternative.

In the second half of the day, February Durable Good Orders data from the US will be looked upon for fresh impetus. Markets expect the data to come in at -0.8% following January's reading of -0.2%.

There won't be any significant macroeconomic data releases featured in the Australian economic docket on Thursday and the USD's market valuation is likely to continue to drive the pair's action.

Technical levels to watch for

AUD/USD

Overview
Today last price 0.6013
Today Daily Change 0.0055
Today Daily Change % 0.92
Today daily open 0.5958
 
Trends
Daily SMA20 0.6294
Daily SMA50 0.6563
Daily SMA100 0.6716
Daily SMA200 0.6783
 
Levels
Previous Daily High 0.5976
Previous Daily Low 0.5806
Previous Weekly High 0.6307
Previous Weekly Low 0.5509
Previous Monthly High 0.6775
Previous Monthly Low 0.6434
Daily Fibonacci 38.2% 0.5911
Daily Fibonacci 61.8% 0.5871
Daily Pivot Point S1 0.585
Daily Pivot Point S2 0.5743
Daily Pivot Point S3 0.568
Daily Pivot Point R1 0.602
Daily Pivot Point R2 0.6083
Daily Pivot Point R3 0.619

 

 

Share: Feed news

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.

Recommended content


Recommended content

Editors’ Picks

GBP/USD resumes upside toward 1.3300 ahead of BoE rate call

GBP/USD resumes upside toward 1.3300 ahead of BoE rate call

The GBP/USD gains traction and approaches 1.3300 in European trading on Thursday, having found buyers near 1.3150. A broad US Dollar pullback and a rebound in risk sentiment offer support to the pair ahead of the BoE policy announcements. 

GBP/USD News
EUR/USD rises further toward 1.1200, focus shifts to ECB-speak

EUR/USD rises further toward 1.1200, focus shifts to ECB-speak

EUR/USD stays strongly bid toward 1.1200 in the European session on Thursday. The pair capitalizes on a renewed US Dollar retreat and an upbeat mood. Traders digest the Fed's dovish outlook, bracing for ECB-speak for fresh trading incentives. US data are also eyed. 

EUR/USD News
Gold hovers close to new high of $2,600 after Fed meeting

Gold hovers close to new high of $2,600 after Fed meeting

Gold (XAU/USD) edges higher and trades back in the $2,580s on Thursday after falling to the $2,540s following the US Federal Reserve (Fed) decision on interest rates the prior day.

Gold News
BoE expected to keep interest rate unchanged at 5% as price pressures persist

BoE expected to keep interest rate unchanged at 5% as price pressures persist

After a close call in August, the Bank of England’s September interest rate decision is keenly awaited for fresh cues on the bank’s future policy action and the pace of its bond sales.

Read more
Bitcoin surges to $62,000 mark after 50 bps Fed rate cut

Bitcoin surges to $62,000 mark after 50 bps Fed rate cut

Bitcoin and Ripple eye for a rally as they break and find support around their resistance barrier. Meanwhile, Ethereum demonstrates signs of recovery as it approaches a critical resistance level, indicating that an upward rally could be on the horizon if it successfully breaks through.

Read more
Moneta Markets review 2024: All you need to know

Moneta Markets review 2024: All you need to know

VERIFIED In this review, the FXStreet team provides an independent and thorough analysis based on direct testing and real experiences with Moneta Markets – an excellent broker for novice to intermediate forex traders who want to broaden their knowledge base.

Read More

Forex MAJORS

Cryptocurrencies

Signatures