• AUD/USD finished the week above 0.6900, up 0.04%.
  • Consumer Sentiment in the United States improved while inflation expectations rose.
  • AUD/USD traders are eyeing RBA’s Governor speech alongside the Aussie employment situation.
  • Next week’s US inflation and retail sales would dictate the faith of the US Dollar.

The Australian Dollar (AUD) is set to finish Friday’s session with minimal losses of 0.22%, ahead of a busy week in the United States (US) economic calendar, led by inflation data. Additionally, a mixed market sentiment bolstered appetite for the greenback, which finished the week with solid gains of 0.56%. At the time of writing, the AUD/USD is trading at 0.6918 after hitting a high of 0.6960.

Wall Street closed mixed, with the S&P 500 and the Dow Jones registering gains of 0.22% and 0.50%, each at 4,090.46 and 33,869.27, respectively. Contrarily, the Nasdaq 100 dived 0.61%,  down to 11,718.12. Data reported in the US economic calendar witnessed the University of Michigan’s Consumer Sentiment, which exceeded expectations and reached 66.4, showing an improvement in financial conditions. Moreover, the projected inflation rate for the upcoming year has increased from 3.9%, as reported in January’s final reading, to 4.2%. On the other hand, the estimated inflation rate for a five-year span remains unchanged at 2.9%.

The AUD/USD reversed its course on the data and, from around 0.6949, ready to test the day’s highs, dropped back towards the 0.6919 area.

The US Dollar Index (DXY), which tracks the American Dollar (USD) performance against a basket of six currencies, finished the week at around 103.585, up 0.58%, a headwind for the AUD/USD.

On the Australian front, Australian bond yields rose,  capping the Australian Dollar (AUD) fall against the greenback. Market participants ramped up expectations for additional interest rate increases by the RBA, which hiked rates by 25 bps on Tuesday, and stated that further tightening would be needed after lifting rates to the 3.35% threshold.

What to watch?

The week ahead, the Australian economic docket will feature two speeches by the Reserve Bank of Australia Governor Philip Lowe, alongside Employment data. On the US front, the calendar will release inflation data, Retail Sales, and Regional Federal Reserve Bank will reveal manufacturing conditions.

AUD/USD key technical levels

AUD/USD

Overview
Today last price 0.6919
Today Daily Change -0.0013
Today Daily Change % -0.19
Today daily open 0.6932
 
Trends
Daily SMA20 0.7004
Daily SMA50 0.6867
Daily SMA100 0.668
Daily SMA200 0.6807
 
Levels
Previous Daily High 0.7011
Previous Daily Low 0.6921
Previous Weekly High 0.7158
Previous Weekly Low 0.6919
Previous Monthly High 0.7143
Previous Monthly Low 0.6688
Daily Fibonacci 38.2% 0.6977
Daily Fibonacci 61.8% 0.6956
Daily Pivot Point S1 0.6899
Daily Pivot Point S2 0.6865
Daily Pivot Point S3 0.6809
Daily Pivot Point R1 0.6989
Daily Pivot Point R2 0.7045
Daily Pivot Point R3 0.7079

 

 

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

EUR/USD holds steady near 1.0850 ahead of Eurozone PMIs

EUR/USD holds steady near 1.0850 ahead of Eurozone PMIs

EUR/USD oscillates near 1.0850 in the early European session on Wednesday, flirting with two-week lows. The pair turns cautious ahead of preliminary Eurozone PMI data while the US Dollar faces fresh selling amid the USD/JPY slide. US PMIs eyed as well. 

EUR/USD News

GBP/USD remains pressured below 1.2900, UK/ US PMIs eyed

GBP/USD remains pressured below 1.2900, UK/ US PMIs eyed

GBP/USD remains under pressure below 1.2900 early Wednesday. Broad risk-aversion offsets the USD/JPY decline-driven US Dollar weakness, rendering negative for the pair. The focus now shifts to the UK and US S&P Global PMI readings. 

GBP/USD News

Gold stays hopeful above $2,400, as US PMI data loom

Gold stays hopeful above $2,400, as US PMI data loom

Gold price is looking to build on the previous rebound above $2,400 in Asian trading on Wednesday, despite a buoyant tone seen around the US Dollar and the US Treasury bond yields. Gold traders now look forward to the global preliminary business PMI data for fresh trading impetus.  

Gold News

PEPE price poised for a rally after retesting trendline support

PEPE price poised for a rally after retesting trendline support

PEPE price broke out of a descending channel pattern, surging by 12%, but is experiencing a corrective pullback, trading 2.3% lower at $0.0000121 as of Wednesday. 

Read more

Bank of Canada: Rate cut expected; forward guidance eyed

Bank of Canada: Rate cut expected; forward guidance eyed

The Bank of Canada will take centre stage at 13:45 GMT. Alongside the rate decision, the central bank will deliver the rate statement and the Monetary Policy Report, released quarterly and providing investors with a glimpse of what the central bank expects in Q3.

Read more

Forex MAJORS

Cryptocurrencies

Signatures