- Aussie heads into Friday on a sour note, technical correction already running out of gas.
- A clear calendar for Friday leaves markets susceptible to mood swings.
The AUD/USD is trading near 0.7500 after failing to jumpstart a technical correction from five-month lows.
The Aussie climbed in early Thursday trading against the US Dollar, but proceed to stumble back down through the rest of the day and the pair wound up largely flat heading into Friday’s action.
Australian inflation expectations rose this week from 3.6% to 3.7%, and Australian jobs reported a 22.6 thousand increase over the previous month, but the Aussie unemployment rate ticked up to 5.6%, and the Aussie’s chance to develop a continued recovery fizzled away as economic data for the Australian economy continued to fizzle.
Nothing of note is slated for the Aussie schedule today, and the week is set to end on a bearish note if buyers don’t step in at these levels.
AUD/USD levels to watch
FXStreet’s Valeria Bednarik on the AUD/USD’s technical outlook to finish off the week: “the pair fell from the mentioned high but found buyers around 0.7500, now a few pips above this last and pretty much unchanged daily basis. The upside seems limited for the pair, particularly if it remains below 0.7565, the 38.2% retracement of the latest weekly decline, yet the short-term picture is neutral, as the Momentum indicator remains flat around its 100 level, while the RSI currently heads lower around 50. In the same chart, the price struggles around its 20 and 100 SMA, both confined to a tight range and slightly bearish. A break below 0.7470 should lead to a steeper decline this Friday.”
Support levels: 0.7500 0.7470 0.7435
Resistance levels: 0.7565 0.7590 0.7625