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AUD/USD clings to gains amid mixed US data, hovering around 200-DMA

  • AUD/USD is supported by strong Australian GDP data, although the Dollar is recovering.
  • The worse-than-expected ADP US employment change report weighed on US Treasury yields, but not the dollar.
  • If AUD/USD falls below the 200-DMA, further declines will be expected, with bears targeting 0.6500.

He AUD/USD trimmed losses from the previous two days, although remains poised to extend the downtrend as the pair struggles to break a key technical resistance level and post gains of over 0.40%. At the time of writing, the AUD/USD pair is trading at 0.6579 after hitting a daily low of 0.6546.

US employment data was mixed, although it made AUD/USD less attractive

Wall Street is trading on a positive note ahead of the release of the November Non-Farm Payrolls report, in which the United States (US) economy is expected to add 180,000 new jobs to the economy. Meanwhile, Automatic Data Processing (ADP) and the Stanford Digital Lab revealed the November US ADP Employment Change report, which saw private hiring increase by 103,000, below forecasts of 130,000 employees. hired by the private sector, and below the 106,000 of the previous month.

Meanwhile, other data revealed that the US trade deficit increased in October, more than expected, due to a 1% contraction in exports, while imports saw an increase of 0.2%. The trade balance stood at $64.3 billion, above forecasts of $64.2 billion, and below September’s $61.2 billion.

Although the data was weak, the Dollar Index (DXY), which tracks the dollar against six other currencies, rose 0.02% to 103.98. However, falling US Treasury yields are a headwind for AUD/USD.

Elsewhere, in the Asian session on Wednesday, Australian gross domestic product (GDP) for the third quarter exceeded forecasts of 1.8% year-on-year and stood at 2.1%, while quarterly figures fell short of estimates. Although the data was mixed, it supported AUD/USD, which rose to a daily high within three points of the 0.6600 level, before paring its gains.

AUD/USD Price Analysis: Technical Outlook

The pair is hovering around the 200-day moving average (DMA) at 0.6577, which, once broken to the upside, could pave the way for further upside. However, bears have gained momentum after AUD/USD collided with a descending resistance trend line drawn from a year-ago high. Therefore, the path of least resistance in the short term is consolidation. But a daily close above the 200-DMA, the pair could rally towards 0.6600 and beyond. Otherwise, a drop towards the December 5 low at 0.6544 is expected, followed by 0.6500.


Latest price today 0.6572
Daily change today 0.0019
Today’s daily variation 0.29
Today’s daily opening 0.6553
daily SMA20 0.6531
daily SMA50 0.6435
SMA100 daily 0.6471
SMA200 daily 0.6579
Previous daily high 0.6624
Previous daily low 0.6544
Previous weekly high 0.6677
Previous weekly low 0.6567
Previous Monthly High 0.6677
Previous monthly low 0.6318
Daily Fibonacci 38.2 0.6575
Fibonacci 61.8% daily 0.6594
Daily Pivot Point S1 0.6524
Daily Pivot Point S2 0.6494
Daily Pivot Point S3 0.6444
Daily Pivot Point R1 0.6603
Daily Pivot Point R2 0.6654
Daily Pivot Point R3 0.6683

Source: Fx Street

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