AUDUSD – Aussie Dollar Struggle To Continue Vs US Dollar

Key Highlights

  • The Aussie Dollar remained under pressure with resistance at 0.7550 and 0.7460 against the US Dollar.
  • There is a monster bearish trend line resistance formed at 0.7540-50 on the 4-hours chart of AUDUSD.
  • Today in Australia, the trade balance for March 2017 released by the Australian Bureau of Statistics posted a trade surplus of 3,107M.
  • Today in the US, the Trade Balance for March 2017 is lined up, and the market is expecting a deficit of $-44.4B, compared with the last $-43.6B.

AUDUSD Technical Analysis

The Aussie Dollar failed on many occasions to remain above 0.7550 against the US Dollar. As a result, the AUDUSD pair is now at risk of a break below 0.7440.

AUDUSD Technical Analysis Aussie Dollar US Dollar

The pair recently failed near a monster bearish trend line resistance at 0.7540-50 on the 4-hours chart. The 100 simple moving average (H4), currently at 0.7530 also played its part well.

There was a downside move initiated after AUDUSD failed to break 0.7540-50. It moved down sharply and currently trading near the 1.236 extension of the last wave from the 0.7440 low to 0.7556 high.

If it continues to move down, there can be a break below 0.7400 with a chance of AUDUSD testing 0.7365.

Australia’s Trade Balance

Recently in the Australia, the trade balance for March 2017 was released by the Australian Bureau of Statistics. The market was expecting a trade surplus of around 2,800M, compared with the last 3,574M.

Australia’s Trade Balance March 2017

The actual result was a bit better, as the trade surplus was 3,107M. Imports of goods and services increased 5% in March 2017, and exports rose 2%. However, the Aussie Dollar was not impressed and moved down below 0.7440.

The report stated that “In seasonally adjusted terms, goods and services credits rose $776m (2%) to $33,343m. Non-monetary gold rose $443m (32%), rural goods rose $271m (7%) and non-rural goods rose $19m. Net exports of goods under merchanting fell $1m (2%). Services credits rose $45m (1%)”.

Economic Releases to Watch Today

  • Germany’s Services PMI for April 2017 – Forecast 54.7, versus 54.7 previous.
  • France Services PMI April 2017 – Forecast 57.4, versus 57.4 previous.
  • Spanish Services PMI for April 2017 – Forecast 57.4, versus 58.0 previous.
  • Euro Zone Services PMI for April 2017 – Forecast 56.2, versus 56.2 previous.
  • UK Services PMI for April 2017 – Forecast 54.5, versus 55.0 previous.
  • US Initial Jobless Claims – Forecast 243K, versus 244K previous.
  • US Factory Orders March 2017 (MoM) – Forecast +0.4%, versus +1% previous.
  • US Trade Balance March 2017 – Forecast $-44.4B, versus $-43.6B previous.


Aayush Jindal

Aayush is a Senior Forex, Cryptocurrencies and Financial Market Strategist with a background in IT and financial markets. He specialises in market strategies and technical analysis, and has spent over a decade as a financial markets contributor and observer. He possesses strong technical analytical skills and is well known for his entertaining and informative analysis of the currency, commodities, Bitcoin and Ethereum markets.

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