- – The Aussie Dollar struggled a lot near 0.7440 against the US Dollar, and moved down.
- – The AUD/USD pair traded below two important bullish trend lines at 0.7410-20 on the hourly chart.
- – Today in Australia, the Westpac Consumer Confidence for May 2017 released by the Faculty of Economics and Commerce Melbourne Institute posted a decline of 1.1%.
Westpac Consumer Confidence
In Australia today, the Westpac Consumer Confidence for May 2017 was released by the Faculty of Economics and Commerce Melbourne Institute. The market was positioned for the Consumer Index to post no decline in May 2017 from the last reading of 99.
However, the result was a bit on the lower side, as the Westpac Consumer Confidence posted a decline of 1.1% in May 2017, and the index was down to 98. The report added that “This marks the eight consecutive month where the growth rate in the Index is at or above trend. That followed a period of fifteen consecutive months where the growth rate had been below trend. That sustained period of below trend growth in the series had been pointing to the weakness we saw in the economy in the September quarter“.
Overall, the AUD/USD pair is down and out, and it may continue to decline towards the next support at 0.7370.
AUD/USD Technical Analysis
The Aussie Dollar traded with a decent uptrend above 0.7400, but later it was seen struggling near the 0.7440 resistance area against the US Dollar. As a result, the AUD/USD pair moved down, and traded below the 0.7425 support area.
The pair also moved below the 23.6% Fib retracement level of the last wave from the 0.7338 low to 0.7445 high. It also moved below two important bullish trend lines at 0.7410-20 on the hourly chart, which is a bearish sign. At the moment, the pair is trading near the 0.7400 support and the 100 hourly simple moving average.
There are high chances of AUD/USD declining further, and testing the 50% Fib retracement level of the last wave from the 0.7338 low to 0.7445 high. A close below the 0.7400 support and the 100 hourly simple moving average could trigger sharp declines. If sellers remain in action, the pair might even break the 0.7375 support for a move towards 0.7360.Tags: AUD/USD Technical Analysis, Aussie dollar, US Dollar