AUD/USD continues its attempts to settle above the resistance at 0.7760
while the U.S. dollar is gaining some ground against a broad basket of
currencies.To get more news about
WikiFX, you can visit wikifx official website.
The U.S. Dollar Index has recently made several attempts to get to the
test of the nearest resistance level at 90.50. A move above this level
will push the U.S. Dollar Index towards the next resistance at 90.70
which will be bearish for AUD/USD.
Traders have completely ignored the recent vote in the U.S. House of
Representatives which led to the second impeachment for the U.S.
President Donald Trump. The vote in the Senate is unlikely to take place
before President-elect Joe Biden enters office on January 20, and it
remains to be seen whether the foreign exchange market will be sensitive
to any news on this front.
According to recent reports, Biden will soon propose a $2 trillion
stimulus package which may provide additional support to riskier assets,
including commodity-related currencies like the Australian dollar.
Today, Australia reported that Building Permits grew by 2.6%
month-over-month in November, in line with the analyst consensus. Later,
traders will have a chance to take a look at U.S. Initial Jobless
Claims and Continuing Jobless Claims reports. Initial Jobless Claims are
projected to grow from 787,000 to 795,000 while Continuing Jobless
Claims are expected to decline from 5.07 million to 5.06 million.
AUD/USD failed to settle below the support at 0.7740 and is trying to
get back above the resistance at 0.7760. If this attempt is successful,
AUD/USD will move towards the next resistance level which has emerged at
0.7780.
A successful test of the resistance at 0.7780 will push AUD/USD towards the next resistance level which is located at 0.7800.
On the support side, AUD/USD needs to settle below the support at
0.7740 to have a chance to develop downside momentum. The next support
level has recently emerged at 0.7725. In case AUD/USD declines below
this level, it will move towards the next support at 0.7700.
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