AUDUSD Leaves a Giant Bearish Engulfing Candle Amid US Job Data

FXOpen

The Australian Dollar (AUD) inched higher against the US Dollar (USD) on Friday, increasing the price of AUDUSD to more than 0.7625 after leaving a giant bearish engulfing candle on the daily chart amid release of US job data. The technical bias remains bullish because of a Higher High in the recent upside rally.

Technical Analysis

As of this writing, the pair is being near 0.7630. A support can be noted around 0.7600, the psychological number ahead of 0.7558, the trendline support and then 0.7500-0.7505, the confluence of horizontal support as well as psychological number as demonstrated in the given below daily chart.

AUDUSD Leaves a Giant Bearish Engulfing Candle Amid US Job Data

On the upside, the pair is expected to face a hurdle near 0.7700, the horizontal resistance as well as psychological number and then 0.7734, the intraday high of yesterday. A break above the 0.7734 resistance area could incite renewed buying interest, validating a move towards the 0.7800.

US Jobless Claims

Filings for U.S. unemployment benefits rose last week by the most since July, after spending several weeks at or near a four-decade low. Jobless claims increased by 13,000 to 260,000 in the period ended Oct. 15, a Labor Department report showed Thursday in Washington. The median forecast in a Bloomberg survey of economists called for 250,000. Continuing claims also rose, though the four-week average was the lowest since 2000. Estimates in the experts’ survey ranged from 235,000 to 300,000. The Labor Department revised the prior week’s reading to 247,000 from an initially reported 246,000.

Trade Idea

Considering the overall technical and fundamental outlook, selling the pair around current levels could be a good strategy in short to medium term as long as 0.7433 resistance holds off.

Trade global forex with the Innovative Broker of 2022*. Choose from 50+ forex markets 24/5. Open your FXOpen account now or learn more about trading forex with FXOpen.

* FXOpen International, Innovative Broker of 2022, according to the IAFT

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Forex Analysis

Market Analysis: The American Currency Resumes Growth EUR/USD Analysis: The Rate Updates Its Multi-month Low Market Analysis: Dollar Falls After Inflation Data Release Euro Analysis: ECB Cautions Against Rate Cuts Amid Inflation Battle Market Analysis: GBP/USD Struggles While EUR/GBP Eyes Increase

Latest articles

Shares

Top 5 Stocks to Watch in October: Bank on the Backfoot, No Thirst for Coca-Cola, Tech Giant Takes Dip and Electric Vehicle Volatility

October is here, and as the markets enter a new month, we take a closer look at five stocks that could be of significant interest to investors. 1) Bank of AmericaBank of America stock has taken a dive over the

Forex Analysis

Market Analysis: The American Currency Resumes Growth

The beginning of October turned out to be favourable for continued growth in the US dollar. From the data published yesterday, it follows that in September, the US manufacturing business activity index (PMI) rose to 49.0 against the forecast

Forex Analysis

EUR/USD Analysis: The Rate Updates Its Multi-month Low

Never in its history has the euro fallen for 11 weeks in a row against the dollar, but it happened. The minimum has been set for 2023. The reason seems to be that in an environment where central banks are

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 60% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.