- AUD/USD rises as the Greenback tumbles on US inflation figures.
- Aussie employment data at 00:30 GMT
AUD/USD heads into the overnight session testing back into 0.7920 following a volatile run up the charts on higher-than-expected inflation data from the US driving the Greenback lower.
The Aussie declined for the first half of Wednesday trading, seeing the US Dollar lift during the London session after mixed inflation data from the UK and GDP figures from the Eurozone failed to beat expectations. Everything came off the rails after US inflation numbers beat expectations, sending the Greenback tumbling broad-market.
AUD/USD ended yesterday up 0.87%, reaching a peak of 0.7934 just before the New York close, and is now down slightly in Asia markets ahead of Australian employment figures for January at 00:30 GMT. Market analysts expect the Unemployment Rate to remain unchanged from the previous period at 5.5%; forecasts for the Employment Change, while still positive, are anticipating a smaller number at 15k versus the previous reading of 34.7k.
With today's bullish move erasing last week's losses, the pair is set to continue moving higher assuming it can confidently hold at this level. AUD/USD has closed bullish over the 34 EMA once more, and the 200-day SMA is still providing support from the 0.7760 region. Continued bullish action will run into resistance at 0.7960, with support at 0.7908 and 0.7876.
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