AUDUSD extends slide below 0.6450 as Wall Street turns negative


  • Aussie under pressure amid risk aversion.
  • US Dollar rises after a three-day negative streak, ahead of US CPI.
  • AUDUSD drops more than a hundred pips from Tuesday’s high.

The AUDUSD pair printed a fresh two-day low during the American session as the US Dollar extended gains supported by risk aversion. It bottomed at 0.6431. The bearish pressure still persists.

Awaiting CPI numbers

The day before the release of the October US Consumer Price Index, the Greenback is gaining support and is rising after three days of consecutive losses. So far, the midterm elections showed no major surprises having a limited market impact. The focus is on the CPI due tomorrow which is expected to show inflation at 8%.

Earlier on Thursday, the Melbourne Institute will release the Survey of Consumer Inflationary and Wage Expectations. Inflation expectation were expected to rise from 5.4% in October to 5.7% in November.

Short-term outlook

The AUDUSD weakened as Wall Street and metals turned negative for the day. US yields are now lower, on a session without a clear direction. It the negative tone prevails in markets, more losses in the pair seem likely.

On Tuesday AUDUSD reached its highest level in seven weeks at 0.6550. The Aussie failed to consolidate above 0.6500 and is back under 0.6450 and also under the 20-Simple Moving Average in the 4-hour charts. The next support might be located at 0.6405/10.

A recovery above 0.6500 would remove the bearish pressure, exposing the recent high at 0.6550, with interim resistance at 0.6520.

Technical levels

AUD/USD

Overview
Today last price 0.6436
Today Daily Change -0.0068
Today Daily Change % -1.05
Today daily open 0.6504
 
Trends
Daily SMA20 0.6363
Daily SMA50 0.6515
Daily SMA100 0.6714
Daily SMA200 0.6966
 
Levels
Previous Daily High 0.6551
Previous Daily Low 0.6444
Previous Weekly High 0.6493
Previous Weekly Low 0.6272
Previous Monthly High 0.6548
Previous Monthly Low 0.617
Daily Fibonacci 38.2% 0.651
Daily Fibonacci 61.8% 0.6485
Daily Pivot Point S1 0.6449
Daily Pivot Point S2 0.6393
Daily Pivot Point S3 0.6342
Daily Pivot Point R1 0.6555
Daily Pivot Point R2 0.6607
Daily Pivot Point R3 0.6662

 

 

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