The AUDUSD is currently staying at a lower level near its lowest point of the day, experiencing its first decrease in four days.

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]

• AUD/USD holds lower grounds near intraday bottom, prints the first daily loss in four.

The pair currently trades last at 0.65509.

The previous day high was 0.6593 while the previous day low was 0.6555. The daily 38.2% Fib levels comes at 0.6579, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.657, expected to provide resistance.

AUD/USD drops towards 0.6500 as it prints the first daily loss in four around 0.6550 amid early Tuesday morning in Europe. In doing so, the Aussie pair struggles to justify mixed Australian and China data while tracing the firmer US Dollar to keep the bears on the table.

That said, China’s headline Trade Balance rises to $80.6B versus $70.6B expected and $70.62B prior. Further details unveil that the Imports slumped -12.4% YoY compared to -6.8% previous readings and -5.0% market forecasts while Exports dropped -9.2% YoY from -8.3% prior, versus -8.9% expected.

Earlier in the day, Australia’s Westpac Consumer Confidence for August slumped to -0.4% versus 2.7% prior. Alternatively, the National Australia Bank’s (NAB) Business Conditions for July edge higher to 10.0 from 9.0 prior and 8.0 market forecasts whereas the NAB Business Confidence came in to 2.0% compared to -1.0% market consensus and 0.0% prior.

Elsewhere, the market’s recent chatters about the geopolitical fears surrounding China join the cautious mood ahead of Thursday’s inflation clues from Australia and the US also weigh on the AUD/USD price. That said, China’s warning about using the face recognition system joins the latest Japan-China tension and the Sino-US tussles to weigh on the sentiment amid a light calendar and lackluster yields.

Against this backdrop, S&P500 Futures prints mild losses around 4,530 as it retreats towards the monthly low marked the last Friday, reversing the first daily gain in five marked on Monday. That said, the US 10-year and two-year Treasury bond yields remain pressured around 4.06% and 4.76% by the press time. It’s worth noting that Wall Street closed with the first daily positive in five by the end of Monday’s North American session.

Having witnessed the initial market reaction to the Aussie/China data, AUD/USD pair traders should keep their eyes on the risk catalysts ahead of the US Trade Balance for June and the NFIB business Optimism Index for July. However, Wednesday’s China Consumer Price Index (CPI) and Thursday’s Australian Consumer Inflation Expectations, as well as the US CPI, are the key for the AUD/USD pair to watch for a clear guide.

Failure to cross the double bottoms marked in late June and early July, around 0.6600 by the press time keeps AUD/USD bears hopeful.

Technical Levels: Supports and Resistances

AUDUSD currently trading at 0.6553 at the time of writing. Pair opened at 0.6574 and is trading with a change of -0.32% % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 0.6716, 50 SMA 0.6702, 100 SMA @ 0.6688 and 200 SMA @ 0.6734.

The previous day high was 0.6593 while the previous day low was 0.6555. The daily 38.2% Fib levels comes at 0.6579, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.657, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 0.6555, 0.6536, 0.6517
• Pivot resistance is noted at 0.6593, 0.6612, 0.663

[/s2If]
Download Nehcap EAWe have two EAs that are operational on our LIVE accounts.

1. EA-FIX: Check out the details here. Download EA-FIX . EA-FIX is a non-grid HFT scalper.
2. EA-GROWTH: High quality low dd EA using trend grids. Download EA_GROWTHJoin Our Telegram Group