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AUD/USD Forecast: Challenging The 0.7800 Level and Poised To Extend Gains

AUD/USD Current Price: 0.7804 Australia will publish February employment data this Thursday. US Federal Reserve put the greenback under strong selling pressure. AUD/USD challenging the 0.7800 level and poised to extend gains.

· 03/17/2021 17:59

AUD/USD Current Price: 0.7804

  • Australia will publish February employment data this Thursday.
  • US Federal Reserve put the greenback under strong selling pressure.
  • AUD/USD challenging the 0.7800 level and poised to extend gains.

The AUD/USD pair recovered from a daily low of 0.7698 to top for the day at 0.7809, holding nearby as the US session ends. The early slump occurred ahead of the US Federal Reserve monetary policy announcement, as US government bond yields soared. The pair recovered as Powell & Co. cooled hopes for a sooner rate hike, sending Wall Street north and cooling yields at the same time.

Earlier on the day, Australia published the February Westpac Leading Index, which printed at 0.02% better than the previous -0.1%. The country will publish this Thursday its February employment figures. The country is expected to have added 30K new jobs in the month, while the unemployment rate is foreseen shrinking to 6.3%, despite the participation rate is expected to have increased to 66.2%.

AUD/USD Short-Term Technical Outlook

The AUD/USD pair holds near the mentioned daily high and seems poised to extend its advance. In the 4-hour chart, the pair has moved above all of its moving averages, which anyway lack clear directional strength. Technical indicators, however, head north almost vertically within positive levels. Further gains are likely once the pair overcomes 0.7820, the immediate resistance level.

Support levels: 0.7730 0.7690 0.7650  

Resistance levels: 0.7820 0.7855 0.7900

View Live Chart for the AUD/USD