Market Overview

AUD/USD Forecast: Retains Its Neutral Stance

AUD/USD Forecast: Retains Its Neutral Stance

AUD/USD Current Price: 0.7305

  • Upbeat Australian employment data fell short of boosting the Aussie.
  • The negative tone of global equities kept the upside limited for the pair.
  • AUD/USD retains its neutral stance, consolidating around the 0.7300 figure.

The AUD/USD pair keeps hovering around the 0.7300 level at the end of this Thursday, still unable to attract speculative interest. The pair has spent the week around the current level, confined to tight intraday ranges. Australian August employment data beat the market’s expectations, as the country added 111K new jobs in the month, much better than the 50K loss expected. Even further, the unemployment rate shrank to 6.8% from 7.5%. The report, however, was unable to offset the risk-off mood. Australia won’t publish macroeconomic data this Friday.

AUD/USD Short-Term Technical Outlook

The technical picture for AUD/USD hasn’t changed, still neutral. The 4-hour chart shows that the pair continues seesawing around the 20 and 100 SMA, which head marginally higher above the 200 SMA. Technical indicators, however, remain below their midlines without clear directional strength. As said on a previous update, the upside seems limited with the risk now skewed to the downside. A steeper decline is likely on a break below 0.7250, the immediate support level.

Support levels: 0.7250 0.7215 0.7170  

Resistance levels: 0.7310 0.7350 0.7385

View Live Chart for the AUD/USD

Image sourced from Pixabay


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Posted-In: AUD/USD FXStreetNews Futures Global Markets