#AUDUSD @ 0.67266 reclaimed the 0.6700 figure but remains unable to register gains. (Pivot Orderbook analysis)

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for PREMIUM VERSION HERE 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_level4)]

• AUD/USD reclaimed the 0.6700 figure but remains unable to register gains.
• The US trade deficit narrowed in July, as exports registered a record high.
• Australia’s GDP exceeded estimates, while money market futures foresee a 50 bps RBA rate hike in October.

The pair currently trades last at 0.67266.

The previous day high was 0.6833 while the previous day low was 0.6727. The daily 38.2% Fib levels comes at 0.6767, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.6793, expected to provide resistance.

AUD/USD operates below its opening price on Wednesday, spurred by a sour market sentiment during the Asian session. However, as the European and North American sessions have taken over, sentiment shifted slightly positive, so the AUD/USD is recovering some ground.

During the day, the AUD/USD tumbled towards the 0.6698 daily low but bounced off, trimming some of its losses. At the time of writing, the AUD/USD is trading at 0.6726, down 0.09%.

The US Department of Commerce revealed that July’s US trade deficit narrowed, as exports registered a record high, which could impact and contribute to GDP growth in Q3. Later, the Cleveland Fed President Loretta Mester crossed newswires, saying that the last labor market report flashed signs of moderation. She added that markets need to focus on the path of interest rates rather than “one particular meeting.” Further, she expressed that she will decide the size of rate hikes in the September meeting, and she’s not convinced that inflation has peaked yet.

On the Australian front, the Gross Domestic Product for Q2 expanded aligned with estimations of 0.9% QoQ, while Australia grew at a 3.6% pace on an annual basis. Meanwhile, money market futures expect an additional 50 bps interest rate increase from the Reserve Bank of Australia (RBA) in October, and the yield curve forecast rates to peak at around 3.85%.

From a daily chart perspective, the AUD/USD appears to form a double-bottom. Wednesday’s daily low tested a downslope-resistance-trendline, drawn from April 2022 highs, which turned support, quickly rejecting lower prices, reclaiming the 0.6700 mark. Nevertheless, to validate the chart pattern abovementioned, the AUD/USD needs to reclaim the 0.7136 resistance. Otherwise, a drop below 0.6698 could pave the way for a re-test of the YTD low.

Technical Levels: Supports and Resistances

AUDUSD currently trading at 0.6726 at the time of writing. Pair opened at 0.6735 and is trading with a change of 1.68 % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 0.6922, 50 SMA 0.69, 100 SMA @ 0.6986 and 200 SMA @ 0.712.

The previous day high was 0.6833 while the previous day low was 0.6727. The daily 38.2% Fib levels comes at 0.6767, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.6793, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 0.6697, 0.6659, 0.6591
• Pivot resistance is noted at 0.6803, 0.6871, 0.6909

[/s2If]
Join Our Telegram Group