Key Highlights
- AUD/USD is trading in a range below the 0.6700 resistance.
- A key rising channel is forming with support at 0.6625 on the 4-hour chart.
- Oil prices extended gains and approached the $85.00 resistance.
- The US ISM Manufacturing Index could remain below 50.0 at 49.0 in June 2024.
AUD/USD Technical Analysis
The Aussie Dollar remained above 0.6600 against the US Dollar. AUD/USD recovered losses, but it remained in a range below the 0.6700 resistance.
Looking at the 4-hour chart, the pair seems to be trading in a broad range below the 0.6700 resistance. However, it is stable above the 100 simple moving average (red, 4-hour) and the 200 simple moving average (green, 4-hour).
There is also a key rising channel forming with support at 0.6625 on the same chart. The pair is now facing resistance near the 0.6675 level or the 76.4% Fib retracement level of the downward move from the 0.6689 swing high to the 0.6634 low.
The next resistance sits at 0.6690. The main hurdle sits at 0.6700. A clear move above the 0.6700 resistance might send it toward the 0.6740 level. Any more gains might open the doors for a test of the 0.6800 zone in the coming days.
Immediate support is near the 0.6650 level. The next major support is near the 0.6625 level. A downside break and close below the 0.6625 support zone could open the doors for a larger decline. In the stated case, the pair could decline toward the 0.6520 level.
Looking at Oil, the bulls remained in action and soon they might aim for more upsides above the $85.00 resistance zone in the near term.
Economic Releases
- Euro Zone Services PMI for June 2024 – Forecast 52.6, versus 52.6 previous.
- UK Services PMI for June 2024 – Forecast 51.2, versus 51.2 previous.
- US Services PMI for June 2024 – Forecast 55.1, versus 55.1 previous.
- US ISM Services PMI for June 2024 – Forecast 52.5, versus 53.8 previous.
- US Initial Jobless Claims – Forecast 235K, versus 233K previous.
- US ADP Employment Change for June 2024 – Forecast 160K, versus 152K previous.
