Daily Price Outlook

The AUD/USD pair maintains its fluctuation around the 0.6400 level, encountering challenges in achieving a decisive breakthrough. It is worth noting that the stochastic indicator is once again indicating a loss of positive momentum.

This development is anticipated to contribute to propelling the price towards a successful breach of this level, subsequently extending the decline on both the intraday and short-term scales. It is important to highlight that our next identified target stands at 0.6310.

Consequently, our outlook continues to lean towards a bearish trajectory for the forthcoming period, provided the price remains stable below the 0.6440 threshold. The projected trading range for the day spans between the support at 0.6350 and the resistance at 0.6450.

In terms of the anticipated trend for today, a bearish sentiment prevails.

AUD/USD - Trade Idea

Entry Price – Sell Below 0.64343

Take Profit – 0.63331

Stop Loss – 0.65008

Risk to Reward – 1: 1.5

Profit & Loss Per Standard Lot = +$1012/ -$665

Profit & Loss Per Micro Lot = +$101/ -$66

Daily Price Outlook

The AUD/USD currency pair was unable to stop its losing streak and remained depressed around below 0.6400 mark. However, this decline can be attributed to the recent smaller rate cut by the People’s Bank of China (PBoC), indicating limited support for the economy despite worries about the property market crisis. This uncertainty has left investors hesitant, leading to a decline in the riskier Australian Dollar. In the meantime, the weakening sentiment has also impacted markets, putting additional pressure on the AUD. Furthermore, the stronger US Dollar, supported by the potential for a Fed interest rate hike, was also contributing to the downward pressure on the AUD/USD pair.

US Dollar Strength and Factors Affecting AUD/USD Pair

The broad-based US dollar, tracked by the USD Index (DXY), is staying just below its highest level in over two months due to the Federal Reserve's likely plans to raise interest rates. However, the recent minutes from the July meeting of the Federal Open Market Committee (FOMC) show they're focused on controlling inflation. Furthermore, the US economy is doing well, according to recent data, supporting the idea that the Fed might tighten policy more.

At the same time, the expectation that the US central bank will keep rates higher for a while is keeping US Treasury bond yields up and helping the US dollar. This suggests the AUD/USD pair will likely continue to fall. However, traders who are expecting a drop might not make big bets before the Jackson Hole Symposium this week. Central bankers' comments there could cause a lot of ups and downs in the markets.

AUD/USD - Technical analysis

The AUD/USD pair maintains its fluctuation around the 0.6400 level, encountering challenges in achieving a decisive breakthrough. It is worth noting that the stochastic indicator is once again indicating a loss of positive momentum.

This development is anticipated to contribute to propelling the price towards a successful breach of this level, subsequently extending the decline on both the intraday and short-term scales. It is important to highlight that our next identified target stands at 0.6310.

Consequently, our outlook continues to lean towards a bearish trajectory for the forthcoming period, provided the price remains stable below the 0.6440 threshold. The projected trading range for the day spans between the support at 0.6350 and the resistance at 0.6450.

In terms of the anticipated trend for today, a bearish sentiment prevails.

Daily Price Outlook

The AUD/USD pair extended its eighth consecutive day of decline due to disappointing Australian employment data and overall market caution. This led to a 0.39% drop, bringing the pair to 0.6367. The weak jobs data has raised concerns about potential interest rate changes by the Reserve Bank of Australia (RBA) in their September 5 meeting. Moreover, concerns about China's economy and the hawkish stance of the Federal Open Market Committee (FOMC) are further pressuring AUD/USD prices.

Challenging Australian Job Market Data Impacts AUD/USD Pair

According to the recent info from the Australian Bureau of Statistics (ABS), Australia's job market struggled in July. The Unemployment Rate unexpectedly rose to 3.7%, exceeding both expectations and the previous month's 3.5%. Employment Change was also disappointing, with a loss of 14.6K jobs, in contrast to the anticipated 15K increase and June's 32.6K additions. Detailed data showed a decline of 24.2K Full-Time Employment roles, while Part-Time Employment grew by 9.6K. In response, the AUD/USD pair declined by 0.39% to trade at 0.6367, indicating concerns about future decisions by the Reserve Bank of Australia (RBA).

Hawkish FOMC Minutes and Positive US Data Weigh on AUD/USD

Furthermore, the recent hawkish tone from the Federal Open Market Committee (FOMC) minutes is also putting pressure on the AUD/USD prices. The minutes showed that even though some policymakers disagreed, most of them leaned towards dealing with the rising prices. This has added to the concerns affecting the AUD/USD.s

In the meantime, positive data from the US and higher returns on US Treasury bonds are also affecting the AUD/USD negatively. For example, the US Industrial Production surprised everyone by growing 1.0% in July, much more than expected. This, along with better Capacity Utilization, Building Permits, and Housing Starts numbers, has strengthened the US Dollar, making it tougher for the AUD/USD pair.

Multiple Concerns Impact AUD/USD Amid Global Developments

Apart from this, concerns are rising due to a drop in China's housing prices since June. This adds to worries about a potential bond market issue in China as a major real estate company, Country Garden, faces difficulties in paying its bond debts. Despite efforts from Chinese policymakers to reassure the economy, market response has been limited, raising concerns about China's economic health. This is putting pressure on the AUD/USD price.

Adding to the negative sentiment is the fact that Fitch Ratings, a global rating agency, lowered economic growth expectations for 10 developed countries, which is also contributing to the downward movement of the AUD/USD price.

AUD/USD - Technical analysis

Following the recent data from the Australian Bureau of Statistics, the nation's unemployment rate for July experienced an uptick, settling at 3.7%, a rise from June's 3.5%. This data revealed a growth in the number of unemployed individuals by 36,000. Additionally, the participation rate, representing the percentage of those aged 15 and older either employed or actively seeking employment, witnessed a slight dip of 0.1 percentage points, closing at 66.7%. This macroeconomic development has cast a shadow over the AUD/USD pair.

Professionally examining the trajectory of the AUD/USD pair, it has adeptly met our anticipated target at 0.6400. Initiating today's trading with a bearish undertone, the pair not only breached the 0.6400 level but also affirmed the dominating bearish trend, hinting at a potential movement towards our forthcoming bearish target set at 0.6310.

Reinforcing this downtrend, the 50-Day Exponential Moving Average (EMA50) lends its weight behind the envisaged bearish momentum. However, this sentiment will hold its validity contingent upon the pair's ability to maintain its position below the 0.6400 threshold.

For today's trading landscape, we foresee the pair oscillating within a range, demarcated by the 0.6310 support level and the 0.6420 resistance level.

Daily Price Outlook

Following the recent data from the Australian Bureau of Statistics, the nation's unemployment rate for July experienced an uptick, settling at 3.7%, a rise from June's 3.5%. This data revealed a growth in the number of unemployed individuals by 36,000. Additionally, the participation rate, representing the percentage of those aged 15 and older either employed or actively seeking employment, witnessed a slight dip of 0.1 percentage points, closing at 66.7%. This macroeconomic development has cast a shadow over the AUD/USD pair.

Professionally examining the trajectory of the AUD/USD pair, it has adeptly met our anticipated target at 0.6400. Initiating today's trading with a bearish undertone, the pair not only breached the 0.6400 level but also affirmed the dominating bearish trend, hinting at a potential movement towards our forthcoming bearish target set at 0.6310.

Reinforcing this downtrend, the 50-Day Exponential Moving Average (EMA50) lends its weight behind the envisaged bearish momentum. However, this sentiment will hold its validity contingent upon the pair's ability to maintain its position below the 0.6400 threshold.

For today's trading landscape, we foresee the pair oscillating within a range, demarcated by the 0.6310 support level and the 0.6420 resistance level.

AUD/USD - Trade Idea

Entry Price – Sell Below 0.64003

Take Profit – 0.62815

Stop Loss – 0.64833

Risk to Reward – 1: 1.4

Profit & Loss Per Standard Lot = +$1188/ -$830

Profit & Loss Per Micro Lot = +$118/ -$83

Daily Price Outlook

The AUD/USD pair demonstrates an increased bearish inclination, nearing our projected target of 0.6040. We anticipate sustained downward momentum that might breach the stated level, setting the stage for further declines, potentially towards the 0.6310 mark.

Given these factors, a bearish trajectory is projected for both intraday and short-term intervals, underpinned by the negative influence of the EMA50. It's imperative to note that maintaining a position below 0.6550 is crucial to perpetuate the predicted bearish trend.

Today, the forecasted trading bracket spans from a support at 0.6380 to a resistance at 0.6490.  

AUD/USD - Trade Idea

Entry Price – Sell Below 0.64604

Take Profit – 0.64138

Stop Loss – 0.64920

Risk to Reward – 1: 1.45

Profit & Loss Per Standard Lot = +$466/ -$316

Profit & Loss Per Micro Lot = +$46/ -$31

Daily Price Outlook

Regarding 0.6457, the intraday sentiment is again skewed downwards. Following the breach, the descent from 0.7156 to the 100% projection level of 0.6457 from 0.6894 to 0.6195 will persist. As long as resistance remains at 0.6738, any potential recovery will maintain a slight downward risk for the immediate future.

During the Asian trading session on Wednesday morning, the AUD/USD pair remains subdued at 0.6555. Reports concerning the US-China relationship continue to strengthen the prevailing inclination towards purchasing US Dollars.

However, it's worth noting that the US government intends to focus solely on Chinese businesses generating over 50% of their revenue from quantum computing and artificial intelligence (AI). According to Bloomberg, an executive order by US President Joe Biden regarding this ban is expected this week.

Recent developments between the world's two largest economies might benefit the Australian Dollar (AUD) acting as a liaison for China while adversely affecting the AUD/USD pair.

AUD/USD - Technical Analysis

The AUD/USD pair closed beneath the 0.6550 benchmark yesterday, further solidifying the forecasted bearish trajectory for the imminent timeframe, with an eye on the 0.6400 mark as the subsequent pivotal target.

The prevailing bullish undertone, as indicated by the Stochastic's upbeat momentum, necessitates the pair to remain under the 0.6550 and 0.6600 thresholds to ensure the continuation of the anticipated bearish momentum. Surpassing these benchmarks could act as a catalyst for the pair's resurgence, initiating a potential rally towards the significant resistance set at 0.6665.

For today, the anticipated trading spectrum is projected to span from a support level of 0.6490 to a resistance of 0.6590. The day's overarching trend is expected to be bullish.

Daily Price Outlook

The AUD/USD pair closed beneath the 0.6550 benchmark yesterday, further solidifying the forecasted bearish trajectory for the imminent timeframe, with an eye on the 0.6400 mark as the subsequent pivotal target.

The prevailing bullish undertone, as indicated by the Stochastic's upbeat momentum, necessitates the pair to remain under the 0.6550 and 0.6600 thresholds to ensure the continuation of the anticipated bearish momentum. Surpassing these benchmarks could act as a catalyst for the pair's resurgence, initiating a potential rally towards the significant resistance set at 0.6665.

For today, the anticipated trading spectrum is projected to span from a support level of 0.6490 to a resistance of 0.6590. The day's overarching trend is expected to be bullish.

AUD/USD - Trade Idea

Entry Price – Buy Above 0.65281

Take Profit – 0.66089

Stop Loss – 0.64763

Risk to Reward – 1: 1.5

Profit & Loss Per Standard Lot = +$808/ -$518

Profit & Loss Per Micro Lot = +$80/ -$51

Daily Price Outlook

The AUD/USD currency pair initially showed signs of a bullish trend, but it could not sustain the momentum and experienced a significant drop after encountering strong resistance near 0.6590 during the European session. However, the decline was primarily driven by a major rebound in the US Dollar Index (DXY) as traders eagerly awaited the release of the United States Nonfarm Payrolls (NFP) data at 12:30 GMT.

The NFP report is highly anticipated and could have a major impact on the movement of the currency pair. As a result, the market sentiment is cautious, with investors exercising caution and refraining from making bold moves until the crucial economic data is unveiled.

Impact of US Market Developments on AUD/USD Currency Pair

The AUD/USD currency pair could be influenced by recent developments in the US markets. However, the significant gains in S&P500 futures and the rebound of the US Dollar Index (DXY) around 102.40 indicate strength in US equities and a hopeful sentiment ahead of the labor market report. Thereby, the positive US labor market data may lead to concerns among Federal Reserve policymakers, potentially triggering a recovery in inflationary pressures.

Consequently, the AUD/USD pair might face pressure as the US Dollar strengthens, possibly resulting in a decline in its value. Traders must closely monitor US labor market data and its impact on inflation, as these factors could significantly influence the AUD/USD pair's short-term movement.

RBA Minutes and Inflation Target Weigh on AUD/USD Pair

Despite the recent release of less-hawkish RBA minutes from August, the Australian Dollar failed to gain support. The RBA policymakers expressed the possibility of further tightening due to inflation moving towards the 2% target by late 2025. This cautious stance could limit the Aussie's upward momentum, potentially putting downward pressure on the AUD/USD pair as investors reevaluate their expectations for the RBA's monetary policy outlook.

Thereby, traders need to closely monitor any updates in the RBA's stance and its impact on inflation to better understand the potential direction of the AUD/USD pair in the short term.

AUD/USD - Technical Analysis

The AUD/USD pair made a valiant attempt to break through the 0.6550 level but encountered robust support, leading to a momentary wavering just above it. Meanwhile, the Stochastic indicator has climbed to overbought levels, fueling speculation of a potential return to negative trading and a possible breach of the aforementioned support, which could then open the path towards 0.6400 as the next significant target.

As the battle between bulls and bears unfolds, the dominant outlook points towards a continued downward trend in the intraday and short-term levels. However, if the 0.6550 level manages to hold firm against negative pressure, it could effectively halt the bearish scenario and propel the price higher, introducing a twist to the narrative.

Market participants are bracing themselves for today's trading, anticipating a range between the support level of 0.6500 and the resistance level of 0.6600. The tension rises as we eagerly await the outcome of this exciting market dynamic!

Daily Price Outlook

The AUD/USD pair made a valiant attempt to break through the 0.6550 level but encountered robust support, leading to a momentary wavering just above it. Meanwhile, the Stochastic indicator has climbed to overbought levels, fueling speculation of a potential return to negative trading and a possible breach of the aforementioned support, which could then open the path towards 0.6400 as the next significant target.

As the battle between bulls and bears unfolds, the dominant outlook points towards a continued downward trend in the intraday and short-term levels. However, if the 0.6550 level manages to hold firm against negative pressure, it could effectively halt the bearish scenario and propel the price higher, introducing a twist to the narrative.

Market participants are bracing themselves for today's trading, anticipating a range between the support level of 0.6500 and the resistance level of 0.6600. The tension rises as we eagerly await the outcome of this exciting market dynamic!

AUD/USD - Trade Idea

Entry Price – Sell Limit 0.65990

Take Profit – 0.65148

Stop Loss – 0.66831

Risk to Reward – 1: 2

Profit & Loss Per Standard Lot = +$842/ -$841

Profit & Loss Per Micro Lot = +$84/ -$84

Daily Price Outlook

The AUD/USD pair faced a brief dip below the 0.6665 level but has since shown signs of recovery, prompting a positive start to the day and signaling a potential bullish bias in the upcoming sessions. The pair is expected to aim for the 0.6780 level in the short term.

The bullish trend is supported by the positive stance of the stochastic indicator. However, it is crucial to monitor the 0.6665 level, as a break below it and sustained trading below this point could halt the anticipated rise and lead to further losses.

For today's trading, the projected range is expected to be between the support level at 0.6630 and the resistance level at 0.6750.

Overall, the outlook suggests a bullish trend for today's session, but cautious observation of key levels is essential in navigating potential market movements.

 AUD/USD - Trade Idea

Entry Price – Buy Limit 0.66563

Take Profit – 0.67218

Stop Loss – 0.66145

Risk to Reward – 1: 1.57

Profit & Loss Per Standard Lot = +$655/ -$418

Profit & Loss Per Micro Lot = +$65/ -$41