Skip to Content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View More
AUD/USD to Face Employment Report- Outlook Constructive Above 0.7380

AUD/USD to Face Employment Report- Outlook Constructive Above 0.7380

Michael Boutros, Strategist

Talking Points

  • AUDUSD eyes critical support zone ahead of Australia jobs report
  • Updated targets & invalidation levels

AUD/USD 120min

AUD/USD 120min Chart

Chart Created Using TradingView

Technical Outlook: The Aussie outlook remains largely unchanged from late-last month and heading into tonight’s Australian employment report I’m on the lookout for a possible drop into a critical support zone at 7380-7408. This level is defined by the lower median-line parallel of the near-term descending pitchfork & the 61.8% retracement of the advance off the May low and converge on a longer-term key structural support extending off the yearly low.

From a trading standpoint I would be looking to fade weakness into this critical support zone with interim resistance seen at 7493 backed by the weekly opening at 7538. A breach above the weekly opening-range high at 7568 would be needed to validate the reversal higher in Aussie. For the complete setup and to continue tracking this trade & more throughout the week- Subscribe to SB Trade Desk.

Avoid the pitfalls of near-term trading strategies by steering clear of classic mistakes. Review these principles in the "Traits of SuccessfulTraders” series.

AUD/USD SSI
  • A summary of the DailyFX Speculative Sentiment Index (SSI) shows traders are net longAUDUSD- the ratio stands at 1.72 (63% of traders are long)- bearish reading
  • Long positions are 33.2% above levels seen last week while Short positions are 42.4% lower over the same time period.
  • Open interest is 3.5% higher than yesterday and 5.1% below its monthly average.
  • The recent flip to net-long exposure leaves the near-term pullback at risk. Note that SSI peaked at +2.50 in January as AUD/USD marked the 2016-low. As a result, a further build-up of long-positions would further support the notion of a turn in price as the exchange rate approaches key support.

Help fine-tune you entries, click here to learn more about the DailyFX Grid Sight Index (GSI)

Relevant Data Releases This Week

Other Setups in Play:

Looking for more trade ideas? Review DailyFX’s Top Trading Opportunity of 2016

---Written by Michael Boutros, Currency Strategist with DailyFX

Follow Michaelon Twitter @MBForex contact him at mboutros@dailyfx.com or Click Here to be added to his email distribution list

Join Michael for Live Scalping Webinars on Mondays on DailyFX and Tuesday, Wednesday & Thursday’s on SB Trade Desk at 12:30 GMT (8:30ET)

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES