AUD/USD Forecast – Aussie Dollar Eyeing More Gains Vs US Dollar

AUD/USD Forecast – Aussie Dollar Eyeing More Gains Vs US Dollar

  • – The Aussie Dollar made a nice upside move and traded above 0.7280 against the US Dollar.
  • – There is a major bullish trend line in place with support at 0.7285 on the hourly chart of the AUD/USD pair.
  • – Recently in the US, the Initial Jobless Claims report for the week ending Sep 15, 2018 was released by the US Department of Labor.
  • – The outcome was better than the forecast of 210K as there was a decline in claims to 201K.

US Initial Jobless Claims

Recently in the US, the Initial Jobless Claims report for the week ending Sep 15, 2018 was released by the US Department of Labor. The market was positioned for a rise from the last reading of 204K to 210K.

 

The actual result was better than the forecast of 210K as there was a decline in the Initial Jobless Claims to 201K. The report added that:

 

The 4-week moving average was 205,750, a decrease of 2,250 from the previous week’s unrevised average of 208,000. This is the lowest level for this average since December 6, 1969 when it was 204,500.

 

The AUD/USD pair was not impacted much and the pair seems to be placed nicely in a positive zone above the 0.7280 support.

 

AUD/USD Technical Analysis

The Aussie Dollar formed a decent support near the 0.7150 level and started an upside move against the US Dollar. The AUD/USD pair gained traction, broke the 0.7200 and 0.7250 resistances, and also settled above the 100 hourly simple moving average.

 

AUD/USD Technical Analysis Aussie Dollar US Dollar

 

The pair cleared the 0.7280 resistance and it recently traded as high as 0.7297. At the moment, the pair is correcting lower and it already broke the 23.6% fib retracement level of the last wave from the 0.7254 low to 0.7297 high.

 

Moreover, there is a major bullish trend line in place with support at 0.7285 on the hourly chart of the AUD/USD pair. The trend line support is well above the 50% fib retracement level of the last wave from the 0.7254 low to 0.7297 high.

 

Therefore, if the pair corrects lower from the current levels, it is likely to find support above 0.7280. Below this, AUD/USD could retest the 0.7250 support. On the upside, a break above 0.7300 could push the pair towards 0.7340.


Also published on Medium.

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