Chart - Courtesy Trading View
Spot Analysis:
AUD/USD was trading largely unchanged at 0.6990 at around 05:20 GMT.
Previous Week's High/ Low: 0.6994/ 0.6859
Previous Session's High/ Low: 0.6997/ 0.6929
Fundamental Overview:
The antipodeans supported on retreating yen on Wednesday after the Bank of Japan (BOJ) stuck to its super-easy stimulus policy, sending bond yields down globally.
Focus will be on Australian labour market data due on Thursday, where employment is seen rising a solid 22,500, while the jobless rate is seen near its lowest in half a century at 3.4%.
Cautious market mood - amid growing worries about a deeper global economic downturn acts as a headwind for the risk-sensitive Aussie.
That said, optimism over a Chinese economic recovery could limit any major downside in the pair.
Technical Analysis:
- AUD/USD on a bullish streak for the 5th consecutive week
- Momentum is bullish, volatility is high and rising
- Price action is above major moving averages which are trending higher
- MACD and ADX support upside in the pair
Major Support and Resistance Levels:
Support - 0.6973 (5-DMA), Resistance - 0.7035 (110-week EMA)
Summary: AUD/USD trades with a bullish technical bias. Immediate resistance is seen at 110-week EMA at 0.7035. Break above targets 200-week MA at 0.7071.
