Yesterday while a quiet session due to the Thanksgiving day in the US, the AUD/USD pair is confined to a tight range around 0.7365 for a second consecutive day, holding on to monthly gains. The Aussie was especially quiet this Thursday, getting little clues from equities´ performance. Australia published Q3 Private Capital Expenditures, which fell to -3%, worse than the -1.5% expected. The country’s macroeconomic calendar will remain empty this Friday.
Dollar demand was damaged on Wednesday following the release of the Federal Reserve last meeting’s minutes, with the bank hinting at further monetary stimulus actions on December’s meeting to support recovery from the economic impact of the COVID-19 pandemic.
The US dollar dropped to a fresh 12-week low against a basket of the most traded currencies shortly after the release, before picking up over Thursday’s European and US trading sessions.
There are no schedules economic announcements in the US or in Australia but today traders should look out for headlines speaking about consumer confidence figures around the Black Friday shopping spree. Most of the sales this year are expected to come from the online retailers which in turn will give some confidence in retail sector equities like Amazon, Walmart and others.
The technical picture for the AUDUSD pair remains bullish as this morning the pair will test the 0.7400 support which it did last August. The 4-hour chart shows that the pair consolidates above a bullish 20 SMA, which keeps advancing above the bigger ones. The RSI indicator consolidates around 59. Sellers remain side-lined as the dollar remains away from investors’ radar at the moment.
Todays AUDUSD Resistance levels are 0.7375, 0.7400 and 0.7425 and on the downside theSupport levels: 0.7350 0.7325 0.7300
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