AUD/USD sticks to modest intraday losses, bears eyeing 0.7300 mark

  • AUD/USD witnessed some selling on Thursday in reaction to weaker Australian jobs data.
  • COVID-19 woes and the cautious mood further undermined the perceived riskier aussie.
  • A subdued USD price action helped limit losses ahead of important US macro releases.

The AUD/USD pair extended its steady intraday descent through the early European session and refreshed daily lows, around 0.7310 region in the last hour.

The pair struggled to capitalize on the previous day's modest recovery from the 0.7300 mark, or over two-week lows, instead met with some fresh supply near the 0.7345 region on Thursday. The Australian dollar was weighed down by domestic data, which showed that the number of employed people fell more than expected in August.

The Delta variant of coronavirus had forced lockdowns in Australia's two largest cities and prompted firms to cut staff. This, along with a fall in the participation rate to 65.2% from 66%, overshadowed an unexpected downtick in the unemployment rate to 4.5% during the reported month from 4.6% reported in the previous month.

This comes on the back of Wednesday's disappointing Chinese macro data and further fueled worries about a global economic slowdown. This, in turn, was seen as a key factor that acted as a headwind for the perceived riskier aussie. That said, a subdued US dollar price action helped limit any deeper losses for the AUD/USD pair.

The softer US CPI report released earlier this week raised uncertainty over the likely timing of the Fed's tapering plan and kept the USD bulls on the defensive. Investors, however, still believe that the Fed would begin rolling back its massive pandemic-era stimulus later this year, which, so far, has been lending some support to the USD.

Market participants now look forward to the US economic docket, highlighting the release of monthly Retail Sales figures, Philly Fed Manufacturing Index and Weekly Initial Jobless Claims. The data, along with the broader market risk sentiment, will influence the USD and produce some trading opportunities around the AUD/USD pair.

Technical levels to watch


Today last price 0.7321
Today Daily Change -0.0012
Today Daily Change % -0.16
Today daily open 0.7333
Daily SMA20 0.7318
Daily SMA50 0.7352
Daily SMA100 0.7516
Daily SMA200 0.7608
Previous Daily High 0.7339
Previous Daily Low 0.73
Previous Weekly High 0.7469
Previous Weekly Low 0.7345
Previous Monthly High 0.7427
Previous Monthly Low 0.7106
Daily Fibonacci 38.2% 0.7324
Daily Fibonacci 61.8% 0.7315
Daily Pivot Point S1 0.7309
Daily Pivot Point S2 0.7286
Daily Pivot Point S3 0.7271
Daily Pivot Point R1 0.7348
Daily Pivot Point R2 0.7363
Daily Pivot Point R3 0.7386



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.

Feed news

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD gains traction and climbs above 1.1600 after US data

After dropping below 1.1600 earlier in the day, EUR/USD managed to stage a recovery in the early American session toward 1.1620 with the latest data releases from the US making it difficult for the greenback to find demand. US trade deficit expanded in September and durable goods orders contracted. 


GBP/USD stays in the negative territory around mid-1.3700s

GBP/USD recovered modestly from the weekly low it set at 1.3710 earlier in the day but continues to trade in the negative territory around 1.3750. The dollar is staying on the back foot after the latest data releases but the cautious mood is limiting the pair's upside.


XAU/USD inches closer to $1,800 amid sliding bond yields/weaker USD

Gold attracted some dip-buying for the second successive day on Wednesday. Retreating US bond yields, weaker USD acted as a tailwind for the commodity. Hawkish central bank expectations might continue to cap gains for the metal.

Gold News

Shiba Inu price to provide buy opportunity before SHIB doubles again

Shiba Inu price is due for a retracement after rallying 113% in less than three days. The MRI displays a major sell signal, hinting at a correction that could extend 17%.

Read more

Wake Up Wall Street: Microsoft, McDonald's lead futures higher

McDonald's (MCD) quarterly earnings came in before the market opens on Wednesday and delighted on both top and bottom lines. Microsoft reported easy beats on revenue and EPS as well.

Read more