- AUD/USD failed to gain traction amid a positive market mood.
- The US dollar remains firm in the session, a headwind for the AUD/USD pair.
- AUD/USD Technical Outlook: Above the 200 DMA, but could correct to 50% Fibonacci before going higher.
the australian dollar will end the week on a bearish note, despite increased risk appetite due to earlier news that Russian President Vladimir Putin claimed talks with Ukraine had taken a positive turn. Reflecting the aforementioned are the rising European and US stock markets, although in the FX space, the antipodes extend the losses. At time of writing, AUD/USD is trading at 0.7326, down 0.45% in the American session.
Meanwhile, the dollar is holding firm at 98.630 up 0.12%, a headwind for AUD/USD. Also, the rise in US Treasury yields, courtesy of the US central bank preparing to hike rates, for the March 15-16 meeting.
In the Asian session, RBA Governor Philip Lowe made remarks and “warned borrowers to start bracing for higher interest rates as rising commodity prices such as oil, gas and coal put pressure on the central bank to raise rates to control rising inflation,” according to AFR. Lowe added that if the central bank would raise before its June meeting, he said it was not guaranteed but “it is plausible.”
In terms of data, an absent Australian docket left AUD/USD tilted towards the US macro, although Australian inflation is due next week. On the US front, the University of Michigan Consumer Sentiment decreased from 62.8 in February to 59.7, while inflation expectations rose to 5.4% from 4.9% in the previous reading.
AUD/USD Price Forecast: Technical Outlook
AUD/USD remains biased to the upside but remains just above the 200-day moving average (DMA) at 0.7317. The first support for the AUD/USD would be the 200 DMA. The break of the latter would expose the confluence of the 50 DMA and the 50% Fibonacci level around the 0.7196-0.7205 area, followed by the Golden Ratio (61.8%) at 0.7148. .
Additional technical levels
AUD/USD
| Panorama | |
|---|---|
| Last Price Today | 0.732 |
| Today’s Daily Change | -0.0038 |
| Today’s Daily Change % | -0.52 |
| Today’s Daily Opening | 0.7358 |
| Trends | |
|---|---|
| 20 Daily SMA | 0.724 |
| 50 Daily SMA | 0.7197 |
| 100 Daily SMA | 0.723 |
| 200 Daily SMA | 0.7316 |
| levels | |
|---|---|
| Previous Daily High | 0.7369 |
| Previous Daily Minimum | 0.7286 |
| Previous Maximum Weekly | 0.7381 |
| Previous Weekly Minimum | 0.7158 |
| Monthly Prior Maximum | 0.7286 |
| Previous Monthly Minimum | 0.7032 |
| Daily Fibonacci 38.2% | 0.7337 |
| Daily Fibonacci 61.8% | 0.7318 |
| Daily Pivot Point S1 | 0.7307 |
| Daily Pivot Point S2 | 0.7255 |
| Daily Pivot Point S3 | 0.7224 |
| Daily Pivot Point R1 | 0.7389 |
| Daily Pivot Point R2 | 0.742 |
| Daily Pivot Point R3 | 0.7472 |
Source: Fx Street
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