Tag: AUD/USD

The AUD/USD pair was closed at 0.77604 after placing a high of 0.7773 and a low of 0.76607. Despite the positive macroeconomic data from the US and the rising demand for safe-haven, the currency pair AUD/USD rose higher onboard amid the US dollar’s weakness. The greenback weakened after the beginning of the American session, and the US Dollar Index fell to its two-year lowest level at 89.44 on Tuesday ahead of the Georgia runoff election’s result. The Senate election will decide who will control the upper chamber of the US Congress. The incoming Democratic President, Joe Biden, will need the two seats to control the US Senate. The Republican Party has been controlling the US Senate since 2014, and if the Democratic Party wins this election, it would be beneficial for them.

On the data front, at 05:30 GMT, the ANZ Job Advertisements for December dropped to 9.2% against November’s 13.5% and weighed on the Australian Dollar that ultimately capped further gains in AUD/USD pair on Tuesday. From the US side, at 20:00 GMT, the ISM Manufacturing PMI from December rose to 60.7 against the anticipated 56.6 and supported the US dollar, and capped further gains in AUD/USD pair. The ISM Manufacturing Prices also surged to 77.6 against the predicted 66.0 and supported the US dollar that limited further AUD/USD pair gains. The Wards Total Vehicle Sales raised to 16.3M against the estimated 15.8M and supported the US dollar, ultimately limiting further gains in AUD/USD pair.

Meanwhile, the market’s risk appetite was declined as the number of coronavirus cases was increasing day by day throughout the globe. Since the pandemic started has reached 21M, the US count of total coronavirus cases is equal to the count of the next three countries, India, Russia, and Brazil. The UK also reported more than 60,000 cases in a single day on Tuesday that was the highest since the pandemic started, and imposed new tougher restrictions throughout the country. Moreover, Germany also extended its lockdown till the end of the month to control the rising number of coronavirus cases. All these developments added in the safe-haven appeal and weighed on the risk-sensitive Australian Dollar that failed to reverse the AUD/USD pair’s bullish movement on Tuesday.


Daily Technical Levels

Support Resistance

0.7688 0.7806

0.7615 0.7851

0.7570 0.7924

Pivot Point: 0.7733

The AUD/USD faced resistance at 0.7811 level and has dropped now to trade at 0.7776 level. On the lower side, the pair may find support at the 0.7738 level today. The MACD and RSI support bullish bias, while the 50 periods EMA is likely to extend support at the 0.7685 level. On the higher side, bullish breakout of 0.7811 level can trigger buying trade until 0.7864 level today. I will be looking to take a buy trade over the 0.7738 level today. Good luck! 

The AUD/USD continues trading bullish at the 0.7740 level, heading further higher, but only if the Aussie gets to violate the 0.7740 resistance level. The dollar seems to get weaker amid a rising number of coronavirus cases despite the vaccine rollout raised fears and supported the appeal for safe-haven, but the dollar is getting weaker. Ultimately weighed on the risk-sensitive Aussie that added in the losses of the AUDUSD pair.

The currency pair AUD/USD posted losses for the day despite the US dollar’s weakness on Monday. The US dollar was weak across the board as the investors were cautious about putting any strong position in the market ahead of Tuesday’s Georgia’s Electoral runoff and Wednesday’s FOMC release of meeting minutes from December. Furthermore, the US caseload of coronavirus infections surpassed the 21,110,917 number and weighed on local currency as the country was worst-hit by the virus. 

Meanwhile, on the data front, at 06:45 GMT, the Caixin Manufacturing PMI from December dropped to 53.0 against the expected 54.7 and weighed on China-proxy Aussie that ultimately added losses in AUD/USD pair. 

At 10:30 GMT, the Commodity prices for the year from Australia came in as11.7% in December against the previous 2.5%. From the US side, at 19:45 GMT, the Final Manufacturing PMI from the US for December is projected to come as 56.3 against the previous 56.5 that could hurt the US dollar and limit further losses in AUD/USD pair. At 20:00 GMT, the Construction Spending for November is anticipated to fell to 1.1% against the previous 1.3% that could also hurt the US dollar and limit further losses in AUD/USD pair.

Daily Technical Levels

Support Resistance

0.7667 0.7732

0.7639 0.7771

0.7601 0.7798

Pivot Point: 07705

The AUD/USD consolidates in a narrow trading range of 0.7685 – 0.7740 level, and a bullish breakout of this range can trigger further upward trend until 0.7802 level, while on the lower side, the support continues to hold at 0.7686 level. A bearish breakout of 0.7686 level is likely to drive selling until the 0.7636 mark. Let’s brace for a breakout. Good luck! 

The AUD/USD opened at 0.75996, and it has placed a high of 0.76185 and a low of 0.75824 so far. AUD/USD pair seemed to extend its previous gains after moving in a bullish trend for two consecutive sessions on Monday. The upward momentum in the AUD/USD pair could be attributed to the US dollar weakness and rising risk sentiment in the market after a long weekend. The main reason behind the improved risk sentiment and the US dollar weakness was the news that US President Donald Trump has signed the second stimulus relief bill on Sunday.

Over the weekend, US President Donald Trump signed a $2.3 trillion stimulus package that would incude$900 billion for coronavirus relief and $1.4 trillion for government funding through next September. Initially, Trump called the package a “disgrace” and rejected to sign it into legislation and demanded to increase the stimulus checks to $2000; however, he backed down from his decision as the current government funding level was close to run out. The $900 billion coronavirus relief bill will provide $600 per person who makes less than $75000. 

As the US government shutdown was near, the second round of the US stimulus bill provided hope to the investors that the economy will start recovering soon, raising the risk sentiment in the market. 

This market sentiment supported the risk perceived Australian dollar, and the pair AUD/USD continued moving in the upward direction on Monday. Meanwhile, the US dollar also came under pressure after Donald Trump passed the second stimulus bill of $2.3 trillion as it would hurt the local currency. The AUD/USD pair got more strength from the US dollar’s weakness and raised its gains on Monday. Furthermore, the AUD/USD pair’s gains remained limited on Monday due to the latest pessimistic comments from the leading experts of China. The Tsinghua University’s Yan Xuetong said that though President-elect Joe Biden’s diplomatic strategy will be largely different from Trump’s strategy, it does not mean that US-China relations will improve. He added that Biden might seek to use the damage caused by Trump as a bargaining chip to get what he wants from Beijing. 

These comments from top experts from China added to the tension lingering between the world’s two largest economies and weighed on the China-proxy Australian dollar that ultimately limited the AUD/USD pair’s upward momentum on Monday. However, the holiday-thinned trading condition and the absence of any macroeconomic data from either side, the currency pair AUD/USD continued following the market’s risk sentiment and remained on the upside on Monday. 


Daily Technical Levels

Support Resistance

 0.7597 0.7619

0.7583 0.7627

0.7575 0.7641

Pivot point: 0.7605

The AUD/USD is trading at 0.7584 level, supported by an upward channel on the 2-hour timeframe. The 50 periods EMA is also supporting the pair at the 0.7580 level, and the MACD is closing histograms below 0, suggesting strong chances of selling. Since there’s a conflict between leading and lagging indicators, we may need to wait for either a bearish breakout below the 0.7580 level to take a sell trade or take a buying trade over 0.7580 once the MACD starts closing histograms over 0. Let’s keep an eye on the pair. Good luck! 

The AUD/USD pair was closed at 0.75571 after placing a high of 0.75712 and a low of 0.75070. The currency pair AUD/USD rose on Tuesday amid the broad-based US dollar weakness and the RBA meeting minutes from the December meeting.

The renewed selling pressure surrounding the greenback was helpful to AUD/USD pair for pushing it higher as the US Dollar Index (DXY) was down by 0.2% on the day towards the 90.51 level. The US dollar was weak across the board because of the renewed hopes for US stimulus measure and the rising number of coronavirus cases in the region.

Meanwhile, the rising risk sentiment of the market also helped the AUD/USD pair to gain traction in the market. The risk-sensitive Aussie gained strength after the US Food and Drug Administration reported that Moderna’s coronavirus vaccine would be approved for emergency use later this week. The rising Australian dollar helped the AUD/USD pair to post gains on Tuesday.

On the data front, from the US side, at 18:30 GMT, the Empire State Manufacturing Index for December dropped to 4.9 against the expected 6.3 and weighed on the US dollar that added gains in AUD/USD pair. The US Import Prices in November also declined to 0.1% against the expected 0.3% and weighed on the US dollar that ultimately added further gains in AUD/USD pair. At 19:15 GMT, the Capacity Utilization Rate from the US for November increased to 73.3% against the expected 73.1% and supported the US dollar. The Industrial Production in November also raised to 0.4% against the expected 0.3% and supported the US dollar. From the Australian side, the CB Leading Index for October came in as 0.8%.

Furthermore, the Reserve Bank of Australia released its minutes from the December meeting in which the Bank said that it was prepared to do more if needed, and its focus will be on the bond-buying program. RBA did not expect to raise interest rates for at least three years and until the inflation reaches the bank target of 2-3%.

Bank said that the recovery in the labour market was more advanced than expected, and substantial tightening in the labour market was needed to lift wage growth and inflation. Bank acknowledged that China’s restrictions on Australian imports had some effect, but the demand for iron-ore was still firm. Last, the Bank suggested that the delivery of vaccines in the US and Europe would reduce downside risks for global growth. These positive statements from the Reserve Bank of Australia lifted the AUD/USD pair on Tuesday.

However, the gains in AUD/USD pair on Tuesday remained limited as the latest news about the new variant of coronavirus raised fears as it spread faster and raised the safe-haven appeal, and weighed on the risk perceived Aussie that ultimately capped further upside in the AUD/USD pair.


Daily Technical Levels

Support Resistance

0.7517 0.7584

0.7479 0.7611

0.7451 0.7650

Pivot Point: 0.7545

On the technical front, the AUD/USD is trading slightly bullish at 0.7560, facing immediate resistance at 0.7580 level. Bullish crossover of this level can extend upward trend until the next target level of 0.7615. However, failure to break above 0.7580 level can extend selling moves until the support area of 0.7545 level. The 50 periods EMA is suggesting buying trend, but the MACD is suggesting overbought scenario. Thus, we should look for bearish correction before entering another buying trade in the AUD/USD pair. The bullish bias remains dominant. Good luck! 

The AUD/USD pair was closed at 0.74414 after placing a high of 0.74493 and a low of 0.73977. The AUD/USD pair advanced to its highest since August 2018 on Thursday over the broad-based U.S. dollar weakness and the rising risk sentiment in the market. The U.S. dollar saw a massive sell-off on Thursday that led the U.S. Dollar Index to fell to its 2-years lowest level at 90.50. The latest decline in the demand for the U.S. dollar was droved by the rising hopes of a second round of stimulus package by Congress.

The second round of stimulus talks was resumed that succeeded in getting a consensus on a $908 billion bipartisan bill for coronavirus pandemic. The Democrats said that they would back the proposal as it was the starting step toward the stimulus package. These optimistic statements raised the hopes that the second round of financial aid from Congress for coronavirus pandemic will be released soon and support the economy. These hopes weighed on the U.S. dollar and supported the AUD/USD pair’s gains on Thursday. 

On the data front, at 02:30 GMT, AIG Construction Index from Australia came in as 55.3 against the previous 52.7. At 05:30 GMT, the Trade Balance from Australia surged to7.46B against the forecasted 5.83B and supported Aussie that added further gains in the AUD/USD pair on Thursday. At 17:30 GMT, the Challenger Job Cuts for the year in November came in as 45.4%against the previous 60.4%. At 18:30 GMT, the Unemployment Claims from last week declined to 712K against the predicted 775K and supported the U.S. dollar and capped further gains in AUD/USD pair. At 19:45 GMT, the Final Services PMI for November surged to 58.4 against the predicted 57.5 and supported the U.S. dollar. At 20:00 GMT, the ISM Services PMI stayed as predicted 55.9. Meanwhile, the AUD/USD pair also rose to its 2-years highest level on Thursday after the Caixin Services PMI on Thursday raised to 57.8 against the expected 56.5 and supported the China-proxy Aussie. 

The risk-perceived Australian dollar also followed the risk appetite and reached above its more than 2-years highest level as the optimism in the market related to vaccine development continuously supported the quick global economic recovery. This optimism also raised hopes that soon the vaccine will circulate in the market, and the economy will return to its pre-pandemic level that would help people return to their everyday routine lives. These positive hopes kept the market sentiment higher and supported Aussie’s risk on the bullish track.

Daily Technical Levels

Support Resistance

0.7371 0.7441

0.7326 0.7466

0.7301 0.7512

Pivot point: 0.7396

Entry Price – Buy 0.7437

Stop Loss – 0.7397

Take Profit – 0.7477

Risk to Reward – 1:1

Profit & Loss Per Standard Lot = -$400/ +$400

Profit & Loss Per Micro Lot = -$40/ +$40

Fellas, now you can check out forex trading signals via Forex Academy mobile app. Follow the links below.

iPhone Users: https://apps.apple.com/es/app/fasignals/id1521281368

Andriod Users: https://play.google.com/store/apps/details?id=academy.forex.thesignal&hl=en_US

We are really sorry for the unexpected result but we are working very hard to improve this strategy and let you enjoy it asap.

Kind regards

The AUD/USD pair was closed at 0.73435 after placing a high of 0.74070 and a low of 0.73388. The currency pair AUD/USD raised to its highest in 4 months on Monday in an early trading session due to improved risk sentiment failed to remain there for longer and reversed its direction as the US dollar Index raised.

The risk sentiment in the market was supported by multiple factors, including the vaccine optimism and the resumed talks in Congress for issuance of a second stimulus package. Pfizer sent its first mass shipment of coronavirus vaccine to Chicago on Monday and added in the market’s risk sentiment. Moderna also applied on Monday for emergency use authorization of its vaccine to curb the coronavirus pandemic’s effect.

These factors raised the demand for risk-sensitive Aussie and supported the upward momentum of AUD.USD pair in early trading hours of the day. However, the gains were lost during the late trading session as the US Dollar Index rebounded. The US Dollar Index (DXY) bounced back on Monday from its lower 91.8 level amid the decline in US Wall Street’s main indexes. The Dow Jones Industrial Average and S&P 500 indexes fell on Monday and added strength to the US dollar.

Meanwhile, on the data front, at 05:00 GMT, the MI Inflation Gauge for November came in as 0.3% in comparison to -0.1%. At 05:30 GMT, the Company’s Operating Profits for the quarter decreased to 3.2% against the forecasted 4.0% and weighed on the Australian dollar and added further in the losses of AUD/USD pair. The Private Sector Credit for November also declined to 0.0% against the estimated 0.1% and weighed on the Australian dollar and added further losses in AUD/USD pair.

On the US dollar front, at 19:45 GMT, the Chicago PMI for November dropped to 58.2 against the expected 59.4 and weighed on the US dollar that capped further losses in AUD/USD pair. At 20:00 GMT, the Pending Home Sales for October also dropped to -1.1% against the estimated 1.1% and weighed on the US dollar. However, the AUD/USD pair’s losses were limited by the release of positive macroeconomic data from China. China’s economic activity in the manufacturing and services sector was improved during November and helped China-proxy Australian dollar to gather strength against its counterpart US dollar and capped further losses in the AUD/USD pair on Monday.


Daily Technical Levels
Support Resistance
0.7389 0.7410
0.7377 0.7417
0.7369 0.7430
Pivot point: 0.7397

Entry Price – Sell 0.73437

Stop Loss – 0.73837

Take Profit – 0.73037

wisk to Reward – 1:1

Profit & Loss Per Standard Lot = -$400/ +$400

Profit & Loss Per Micro Lot = -$40/ +$40

Fellas, now you can check out forex trading signals via Forex Academy mobile app. Follow the links below.

iPhone Users: https://apps.apple.com/es/app/fasignals/id1521281368

Andriod Users: https://play.google.com/store/apps/details?id=academy.forex.thesignal&hl=en_US

The AUD/USD pair was closed at 0.73570 after placing a high of 0.73742 and a low of 0.73533. The Australian dollar tried to rally during the early session on Thursday but gave back some of its gains and ended up losing. This week has been quite supportive to the riskier currencies like the Australian dollar and Aussie has been on its highest since September level due to the combination of vaccine news, the beginning of Joe Biden transition, and the weakness of the US dollar.

The US dollar was weak on Wednesday after the US Labor Market data showed that the Initial Jobless Claims rose to 778,000 from the previous 748,000 during last week, and the trade deficit was climbed to $80,29B from the previous $79.36B. The negative macroeconomic data on Wednesday also drove the AUD.USD pair on the next day as there was no data to be released due to Thanksgiving Holiday.

During thin trading, the Aussie suffered as the pair were left with the macroeconomic data from Australia. At 05:30 GMT, the Private Capital Expenditure for the quarter in Australia declined to -3.0% from the forecasted -1.5% and weighed heavily on the Australian dollar that added pressure on AUD/USD pair.

Meanwhile, the market’s risk sentiment was also deteriorated because of the increased number of coronavirus cases from across the globe. The total number of worldwide coronavirus cases reached above 60 million and weighed on market sentiment.

Out of 660 Million cases, 12.7M were from the world’s largest economy, the United States. The rising number of coronavirus cases in the US forces many state governments to impose lockdown restrictions that added pressure on the US dollar and the market’s risk sentiment.

The risk perceived Aussie suffered on Thursday despite the latest coronavirus update that Queensland had decided to allow Victorians to enter the state from Dec-1st without quarantining. The pair AUD/USD followed the market mood that was disturbed by the rising number of coronavirus cases, and the pair ended up posting small losses on Thursday.


Daily Technical Levels

Support Resistance

0.7349 0.7371

0.7341 0.7383

0.7328 0.7392

Pivot point: 0.7362

The AUD/USD is approaching a resistance level at 0.73400, which has now been violated and the AUD/USD pair has the potential to go after the 0.7397 level. We have already captured this trade and enchased 30+ pips in a trade. For now, we will be looking for a retracement until the 0.7395-90 area to take another buying position in AUD/USD as bullish bias seems dominant today. Good luck! 

The AUD/USD pair was closed at 0.73658 after placing a high of 0.73732 and a low of 0.73248. The AUD/USD pair extended its gains on Wednesday after falling to the 0.73200 level. The pair fell in an earlier trading session on the day but reversed its direction after releasing U.S. macro-economic data.

At 05:30 GMT, the Construction Work done in the third quarter in Australia came in as -2.6% against the forecasted -2.0% and weighed on the Australian dollar. From the U.S. side, at 18:30 GMT, the Prelim GDP for the third quarter came in line with the expectations of 33.1%. The Unemployment Claims from last week surged to 778K against the estimated 732K and weighed on the U.S. dollar that added gains in AUD/USD pair. The Core Durable Goods Orders for October rose to 1.3% against the estimated 0.5% and supported the U.S. dollar. The Durable Goods Orders raised to 1.3% from the anticipated 1.0% and supported the U.S. dollar. The Prelim Wholesale Inventories for October surged to 0.9% against the projected 0.4% and weighed on the U.S. dollar that added further gains in AUD/USD pair.

The New Home Sales for October surged to 999K against the estimated 972K and supported the U.S. dollar. The Personal Income dropped to -0.7% from the anticipations of 0.0% and weighed on the U.S. dollar. The Personal Spending rose to 0.5% from the projected 0.4% and supported the U.S. dollar.

The rising unemployment claims and personal income data weighed on the optimism that economic recovery was near and faded the risk sentiment. The risk rally deteriorated after the mixed macroeconomic data from the U.S. and weighed on the risk perceived Aussie that caused the pair to fall in an earlier session.

The pair managed to end its day on a bullish stance due to U.S. dollar weakness in the absence of any major fundamental. The market mood was smooth on Wednesday and the risk perceived AUD/USD continued following the previous optimism regarding the vaccine development from AstraZeneca and Moderna. Pfizer and BioNtech were close to getting approval from the US FDA for emergency use authorization of their vaccine, causing an immediate rise in risk rally and supporting further the AUD/USD currency pair. Investors also remained cautious on Wednesday and followed the previous daily movement ahead of the release of FOMC minutes from the November meeting.


Daily Technical Levels

Support Resistance

0.7333 0.7383

0.7304 0.7404

0.7284 0.7433

Pivot point: 0.7354

The AUD/USD long term view of the market is bullish. We were approaching a resistance level at 0.73400, which has now been violated and the AUD/USD pair has the potential to go after the 0.7397 level. We have already captured this trade and enchased 30+ pips in a trade. For now, we will be looking for a retracement until the 0.7395-90 area to take another buying position in AUD/USD as bullish bias seems dominant today. Good luck! 

The AUD/USD pair was closed at 0.72859 after placing a high of 0.73371 and a low of 0.72651. On Monday, AUD/USD pair rose and reached a near 0.73380 level amid the risk-on market sentiment; however, the gains started to decline and eventually ended up losing due to increased demand for the US dollar.

The market’s risk sentiment was improved after AstraZeneca; the British pharmaceutical said that its vaccine was 90% effective in preventing the coronavirus with the second dosage. The risk perceived Australian dollar gained traction with the increased risk sentiment and supported the AUD/USD pair’s gains on Monday. However, the AUD/USD pair’s upward momentum started to reverse its direction after the US macroeconomic data released. At 15:00 GMT, Flash Manufacturing PMI from Australia in November came in as 56.1 in comparison to the previous 54.2. Flash Services PMI from Australia came in as 54.9 against the previous 53.7. At 19:45 GMT, the Flash Manufacturing PMI from the US in November surged to 56.7 against the estimated 52.5 and supported the US dollar that weighed on AUD/USD pair. The Flash Services PMI rose to 57.7 against the expected 55.8 and kept the US dollar and added pressure on AUD/USD pair.

Another factor involved in the AUD/USD pair’s downward momentum on Monday was the latest punitive measures imposed by the US over China. The US Trump Administration has banned US investment in 89 Chinese companies and reportedly sent a navy admiral to Taiwan.

Many reports suggest plans by Trump’s administration for a series of confrontations with China before Biden’s inauguration on 20th January. These concerns also kept the risk perceived Australian dollar under pressure and added further in AUD/USD pair losses.

Daily Technical Levels

Support Resistance

0.7303 0.7321

0.7290 0.7328

0.7284 0.7340

Pivot point: 0.7309

The general and long term view of the market is bullish. We were approaching a resistance level at 0.73400, which has now been violated and the AUD/USD pair has the potential to go after the 0.7397 level. We have already captured this trade and enchased 30+ pips in a trade. For now, we will be looking for a retracement until the 0.7395-90 area to take another buying position in AUD/USD as bullish bias seems dominant today. Good luck! 

During Monday’s early European Asian trading session, the AUD/USD currency pair succeeded to extend its previous session gains and caught some sharp bids around above 0.7300 level mainly due to the risk-on market sentiment, which tend to underpin the perceived risk currency Australian dollar and contributes to the currency pair gains. Hence, the market trading sentiment was being supported by optimism over a potential vaccine for the highly infectious coronavirus disease. Apart from this, the market trading sentiment was further bolstered by China and Japan’s positive data, which suggests gradual recoveries in global economics. This, in turn, provided an additional boost to the currency pair.

Across the pond, the bullish sentiment around the currency pair was further improved after Governor Lowe dimmed negative rates expectations. In addition to this, the broad-based U.S. dollar bearish bias, triggered by the upbeat market sentiment, has also played its major role in supporting the currency pair. Moreover, the losses in the U.S. dollar were further bolstered by the intensifying doubts over the U.S. economic recovery amid rising coronavirus cases in the U.S. Conversely, the long-lasting coronavirus woes in the U.S. and Europe keep challenging the market risk-on sentiment, which becomes the key factor that kept the lid on any additional gains in the currency pair. The AUD/USD currency pair is currently trading at 0.7293 and consolidating in the range between 0.7265 – 0.7310.

Despite the lingering doubts over the global economic recovery from intensifying coronavirus (COVID-19) woes in the U.S. and Europe, the market trading sentiment has remained supportive by the optimism over a potential vaccine for the highly contagious coronavirus disease. Although, the hopes of potential vaccine were further boosted after the vaccine producers showed readiness to release data on their vaccine candidates shortly. Meanwhile, China and Japan’s positive data, which suggests gradual recoveries in global economics, also boosted the market trading tone. On the data front, the Industrial production in China’s economy surged 6.9% year-on-year for the 2nd-straight month in October, surpassing the expected gain of 6.5%. Moreover, the Fixed Asset Investment grew 1.8% year-on-year in October against 1.6% expected and 0.8% previous. At home, Japan’s Q3 Gross Domestic Product preliminary result came in at 5.0% QoQ vs. against 4.4%.

As in result, the S&P 500 futures managed to extend its previous session positive momentum and remained bullish throughout the European session, which tends to undermine the demand for the safe-haven U.S. dollar and extended support to the currency pair. At the USD front, the broad-based U.S. dollar failed to erase its previous session losses and remained under pressure on the day, mainly due to the marker risk-on tone. Apart from this, coronavirus’s resurgence keeps fueling the fears that the U.S. economic recovery could be halt, which also keeps the greenback under pressure. However, the U.S. dollar losses could be considered the major factor that kept the currency pair higher. Meantime, the U.S. Dollar Index that tracks the greenback against a bucket of other currencies dropped by 0.14% to 92.588 by 10:05 PM ET (2:05 AM GMT).

In addition to this, the sentiment around the currency pair was improved further after the RBA Governor Lowe said that negative rates are still unlikely in Australia, which instantly lend support to the Australian dollar and contributes to the currency pair gains. H further added that “Would only apply negative rates if all the world’s major banks had negative rates.”

On the contrary, the intensifying coronavirus woes in the U.S. and Europe and intensifying lockdowns restrictions in Europe keep challenging the upbeat market sentiment, which becomes the key factor that kept the lid on any additional gains in the currency pair. As per the latest report, there were over 54 million cases across the globe and over 1.3 million deaths as of Nov. 16. At the same time, there are approximately 11 million cases in the U.S. separately.

Moving ahead, the market traders will keep their eyes on the economic calendar, which highlights the RBA Gov Lowe Speaks and Monetary Policy Meeting Minutes. In the meantime, the updates surrounding the Brexit trade talks and the U.S. stimulus package could not lose their importance on the day.


Daily Support and Resistance

S1 0.7166

S2 0.7211

S3 0.7241

Pivot Point 0.7257

R1 0.7287

R2 0.7303

R3 0.7349

The technical side of the AUD/USD pair continues to remain the same on the back of lack of economic events; however, it continues to trade bullish, in between 0.7300 -0.7286 level. On the higher side, the AUD/USD is likely to remain supported over the 0.7286 level. On the higher side, the resistance continues to hold around the 0.7298 mark. A bearish breakout of 0.7286 level can extend the selling trend until 0.7276 and 0.7260 level today; let’s keep an eye on the 0.7286 level. Good luck! 

The AUD/USD failed to extend its overnight bullish bias and remains on the backfoot after returning from the 8-week high the previous day. The reason for the downbeat market performance could be associated with the latest reports suggesting that Europe’s imposed trade tariff on U.S. goods worth $4 billion. Furthermore, the mixed data from China and Australia exerted an additional burden around the market trading sentiment, which in turn, tempered investors’ appetite for the perceived riskier Australian dollar and contributed to the currency pair declines.

Elsewhere, the currency pair’s losses were further bolstered by the on-going fears of rising COVID-19 cases in the U.S. and Europe, which continually fueling worries over the economic recovery and contributes to the currency pair loss. It is worth recalling that Europe still imposing back to back lockdowns restrictions amid surging coronavirus cases. Apart from this, the U.S. registered its 4th consecutive day of over 100,000 new infections and surges from California to the Midwest and the Mexican border.

On the contrary, the prevalent optimism over a potential vaccine for the highly infectious coronavirus disease has become the key factor that helps the market trading sentiment limit its deeper losses.
It is worth recalling that Pfizer experimental vaccine – co-developed with BioNTech – was more than 90% efficient in curbing COVID-19. However, the claim was based on data from the first 94 people infected with the coronavirus in Pfizer’s large-scale clinical trial.

As in result, the greenback failed to gain any positive traction and edged lower on the day as doubts persist over the global economic recovery from COVID-19. Besides this, the mixed market sentiment also played its major role in undermining the safe-haven U.S. dollar. Thus, the U.S. dollar gains become the key factor that kept the currency pair under pressure. Meantime, the U.S. Dollar Index, which tracks the greenback against a bucket of other currencies, was down at 92.707.


Daily Support and Resistance
S1 0.7194
S2 0.7236
S3 0.726
Pivot Point 0.7277
R1 0.7302
R2 0.7319
R3 0.7361

The AUDUSD is consolidating with bullish sentiment at the 0.7283 area, having crossed over an immediate resistance level of 0.7247. For the moment, this AUD/USD is working as a support for the AUD/USD pair. On the higher side, resistance stays at 0.7341 and 0.7411 level today. Bullish bias seems strong; let’s consider taking bullish trades today, especially 0.7220. Good luck!

During Thursday’s early Asian trading hours, the AUD/USD currency pair failed to stop its overnight bearish moves and hit the intra-day low around well below 0.7050 level despite the hotter-than-expected Australian consumer inflation figures, which showed that Australia’s headline CPI increased 1.6% QoQ during the 3rd-quarter as against a 1.9% contraction in the previous quarter.

However, the bearish sentiment around the currency pair could be associated with the prevalent risk-off market sentiment, triggered by the worsening coronavirus (COVID-19) conditions in Europe and the UK, which exerted some additional pressure on the perceived riskier Aussie and dragged the currency pair below 0.7050 marks. The lack of progress in stimulus talks in the US adds a burden around the market trading sentiment. 

Across the pond, the increasing probabilities of an interest rate cut by the Reserve Bank of Australia in November also played its major role in undermining the Australian dollar. On the other hand, the broad-based US dollar fresh strength, backed by the risk-on market mood, turned out to be one of the key factors that kept the currency pair under pressure. At the moment, the AUD/USD currency pair is currently trading at 0.7044 and consolidating in the range between 0.7038 – 0.7157.

The market trading sentiment failed to stop its previous day bearish moves and remains depressed during the early Asian session as the condition of the second wave of coronavirus infections in Europe and the UK getting worse time by time, which suggests that the local lockdowns are not able to tame the pandemic, which in turn suggests fresh national activity restrictions. Apart from this, the prevalent fears of a no-deal Brexit and the long-lasting inability to pass the US fiscal package also weighed on the risk sentiment, which eventually undermined the perceived riskier Australian dollar and contributed to the currency pair gains. 

The reason for the market risk-off mood could also be associated with the on-going U-China tussle as the renewed concerns over worsening diplomatic tensions between the world’s two largest economies keeps exerted downside pressure on the market trading, which keeps the AUD/USD currency pair under pressure. 

This, in turn, the broad-based US dollar succeeded in extending its overnight gains and took some further bid during the early Asian session as investors still prefer the safe-haven assets in the wake of risk-off market sentiment. However, the US dollar gains seem rather unaffected by the intensifying political uncertainty ahead of the upcoming US presidential election on November 3. However, the incoming polls tend to suggest a clear-cut presidential victory for the Democrat candidate Joe Biden, which might cap further upside momentum for the US dollar. However, the US dollar gains become the key factor that kept the currency pair under pressure. The dollar index, which pits the dollar against a bucket of 6-major currencies, stood at 93.472.

On the contrary, the upbeat Australian consumer price index (CPI) inflation data released soon before press time becomes the key factor that helps the currency pair limit its deeper losses. It is worth recalling that Australia’s CPI increased by 1.6% quarter-on-quarter in the 3rd-quarter, surpassing the forecast of 1.5% after the second quarter’s 1.9% contraction. The annualized figure matched the estimate of 0.7%. In the meantime, the Reserve Bank of Australia’s (RBA) trimmed-mean CPI rose 0.4% quarter-on-quarter against expectations for 0.3% and -0.1% previously. The annualized trimmed measure came in at 1.2%. Looking forward, the market traders will keep their eyes on the USD moves amid the lack of major data/events on the day. Furthermore, the risk catalyst like geopolitics and the virus woes, not to forget the Brexit, will also be key to watch for the fresh direction.


Daily Support and Resistance

S1 0.7065

S2 0.7097

S3 0.711

Pivot Point 0.7129

R1 0.7143

R2 0.7161

R3 0.7193

The AUD/USD pair faces immediate support at the 0.7014 area, and closing of candles above this mark is anticipated to direct selling bis until the 0.7060, and above this, the next resistance stays at 0.7106 level. The violation of 0.7060 can help us capture quick buy trade in AUD/USD pair. Further on the lower side, the AUD/USD pair may plunge until 0.7014. Let’s look for selling below 0.7129 level today. Good luck!