- Australian dollar pulled up some 60 pips after the July labor force data
July unemployment rate remained stable whereas the economy created fewer jobs
Overnight, the price held 78.6fe (0.7675-0.7310-0.7480)find at 0.7200
The cross AUDUSD rose as much as 0.30% following the July employment data. Post-the data released the cross made a high at 0.7270 and retraced back to 0.7250 at the time of writing. The cross has declined some 2% since June Labor force data. The USD continues to strengthen and finally paused at the 161.8fe (93.16-95.25-93.40). After a strong start to 2018, the Aussie dollar has slumped nearly 11.50% from Jan 2018 high and fell to 0.72 overnight. Only a return above 0.7300-0.7310 would ease downside pressures, lessening the risks of a new leg lower to important supports at 0.7160-0.7140 and paying the substantial rally to 0.7400 and 0.7450.
Intraday: Overnight, the price held 78.6fe (0.7675-0.7310-0.7480) find at 0.7200. While holding 0.72, we expect a short-term rally to 0.7290-0.7300 with supports are at 0.7245 and 0.7210-0.7200.
2-weeks overview: Only a return above 0.7300-0.7310 would ease downside pressures, lessening the risks of a new leg lower to important supports at 0.7160-0.7140 and paying the substantial rally to 0.7400 and 0.7450. Since the daily study, RSI is pointing to a higher low (RSI divergence) we could anticipate a rally in the coming days.
Potential support finds between 0.7200-0.7140