Key Highlights
- AUD/USD started an upside correction above the 0.6450 level.
- It broke a key bearish trend line at 0.6480 on the 4-hours chart.
- Gold price gained bullish momentum and climbed above the $1,710 resistance.
- The US ADP Employment could change 200K in Sep 2022, up from 132K.
AUD/USD Technical Analysis
The Aussie Dollar traded as low as 0.6363 before it found support against the US Dollar. AUD/USD is slowly forming a base above the 0.6400 level.
Looking at the 4-hours chart, the pair was able to recover above the 0.6420 and 0.6440 resistance levels. There was a move above a key bearish trend line with resistance at 0.6480.
The pair is now consolidating near the 23.6% Fib retracement level of the downward move from the 0.6916 swing high to 0.6363 low. An immediate resistance is near the 0.6520 level, above which the pair could test the 100 simple moving average (red, 4-hours).
The next major resistance is near the 0.6640 level. It is near the 50% Fib retracement level of the downward move from the 0.6916 swing high to 0.6363 low.
A clear move above the 0.6640 level might send the pair towards the 0.6700 level or at least the 200 simple moving average (green, 4-hours). On the downside, an initial support is near the 0.6440 level. The main support sits at the 0.6400 level.
A downside break below the 0.6440 zone might send the pair towards the 0.6320 level. The next major support is near the 0.6300 level, below which the pair could even test the 0.6250 support zone.
Looking at gold price, there was a decent increase above the $1,700 level and it seems like the bulls are aiming more upsides.
Economic Releases
- Germany’s Services PMI for Sep 2022 – Forecast 45.4, versus 45.4 previous.
- Euro Zone Services PMI for Sep 2022 – Forecast 50.2, versus 48.9 previous.
- UK Services PMI for Sep e 2022 – Forecast 49.2, versus 49.2 previous.
- US Services PMI for Sep 2022 – Forecast 49.2, versus 49.2 previous.
- US ISM Services PMI for Sep 2022 – Forecast 56.0, versus 56.9 previous.
- US ADP Employment Change for Sep 2022 – Forecast 200K, versus 132K previous.
