- AUD/USD clings to gains amid the broad US dollar weakness.
- The US overtakes Italy to become the world’s epicenter of the coronavirus.
- Markets in Australia are off due to the Easter Monday Holidays.
- A light economic calendar elsewhere will keep virus updates in the spotlight.
With most markets off due to Easter Monday, including those from Australia, AUD/USD carries Friday’s dull trading to 0.6350 at the start of the week. Even so, the pair remains mildly positive amid the broad US dollar weakness.
While there are no major positives from Australia so far, the Aussie pair could have taken clues from the widespread outbreak of the coronavirus (COVID-19) into the US. It should also be noted that the Fed’s efforts to pump the markets might have recently failed by Chairman Jerome Powell’s comments on Thursday.
The world’s largest economy is suffering heavily due to the fierce virus outbreak that has taken more than 20,000 lives and infected 530,000 people of the country. With that, the US overtakes Italy and becomes the global hub of the pandemic that has weighed on major economies in 2020.
Citing the fears of the contagion, the US Federal Reserve Chairman Jerome Powell said on Thursday that the US moving with alarming speed toward very high unemployment.
On the other hand, US President Donald Trump recently marked an upbeat statement while saying, “We are winning, and will win, the war on the Invisible Enemy!”
Amid all these catalysts, the market’s risk-tone remains mixed with contrasting plays of equities and the US Treasury yields.
Given the absence of major data/events, traders will keep eyes on the virus updates to determine the near-term trading direction with an upside bias. On the economic calendar, Tuesday’s Chinese trade data could start the flow of key statistical directives that will travel through Thursday’s Aussie jobs report to end the journey on Friday’s China GDP, Retail Sales and Industrial Production data.
A sustained run-up beyond 21-day SMA enables AUD/USD prices to aim for 0.6390, comprising 50-day SMA, ahead of confronting the yearly resistance line stretched since December 31, currently near 0.6510. On the other hand, the pair’s declines below March-end tops surrounding 0.6215 could recall a 21-day SMA level of 0.6060.
Additional important levels
|Today last price||0.6346|
|Today Daily Change||-3 pips|
|Today Daily Change %||-0.05%|
|Today daily open||0.6349|
|Previous Daily High||0.6369|
|Previous Daily Low||0.6312|
|Previous Weekly High||0.6369|
|Previous Weekly Low||0.5991|
|Previous Monthly High||0.6686|
|Previous Monthly Low||0.5509|
|Daily Fibonacci 38.2%||0.6347|
|Daily Fibonacci 61.8%||0.6334|
|Daily Pivot Point S1||0.6318|
|Daily Pivot Point S2||0.6286|
|Daily Pivot Point S3||0.6261|
|Daily Pivot Point R1||0.6375|
|Daily Pivot Point R2||0.64|
|Daily Pivot Point R3||0.6432|
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.