Key Highlights
The Aussie Dollar remains in a downtrend below the 0.7650 pivot against the US Dollar.
There is a major bearish trend line forming with resistance at 0.7600 on the 4-hours chart of AUD/USD.
The US GDP in Q3 2017 increased 3.3% (Preliminary), more than the forecast of 3.2%.
The US Initial Jobless Claims figure for the week ending Nov 25, 2017 will be released today, which is forecasted to increase from 239K to 240K.
AUDUSD Technical Analysis
The Aussie Dollar recovered recently from 0.7535 against the US Dollar. However, the AUD/USD pair failed near 0.7650 and started a new downside wave.
The pair failed to break a major bearish trend line with current resistance at 0.7600 on the 4-hours chart. Moreover, the 100 simple moving average (4-hour, red) is around 0.7615 to act as a key hurdle on the upside.
The pair is now below the 50% Fib retracement level of the last wave from the 0.7532 low to 0.7644 high. Therefore, there are chances of it extending the current decline back toward the 0.7530-40 levels in the near term.
US GDP
Recently in the US, the Gross Domestic Product Annualized reading for Q3 2017 was released by the US Bureau of Economic Analysis. The market was looking for a rise of 3.2% (Preliminary) in Q3 2017 compared with the last reading of 3%.
However, the actual result was better since the GDP rose 3.3% as per the second estimate.
The report added that:
The price index for gross domestic purchases increased 1.8 percent in the third quarter, compared with an increase of 0.9 percent in the second quarter. The PCE price index increased 1.5 percent, compared with an increase of 0.3 percent.
Overall, the result was positive and it might weigh further on the AUD/USD pair in the near term.
Economic Releases to Watch Today
Swiss Gross Domestic Product for Q3 2017 (QoQ) – Forecast +0.9%, versus +0.3% previous.
Germany’s Unemployment Change for Nov 2017 – Forecast -10K, versus -11K previous.
Germany’s Unemployment Rate for Nov 2017 – Forecast 5.6%, versus 5.6% previous.
German Retail Sales for Oct 2017 (MoM) – Forecast 0.3%, versus 0.5% previous.
German Retail Sales for Oct 2017 (YoY) – Forecast 2.8%, versus 4.1% previous.
Euro Zone CPI for Nov 2017 (YoY, Preliminary) – Forecast +1.6%, versus +1.4% previous.
US Initial Jobless Claims – Forecast 240K, versus 239K previous.
