AUD/USD: pair in correction
The pair is in correction after a significant fall of the begging of the year.
The pair was supported by today’s data on Trade Balance from China that came out better than expectations and slightly calmed worries on the market regarding the Chinese economy.
At the same time, the pair remains under pressure amid strengthening US Dollar, falling commodities’ prices and still continuing crisis on the Chinese stock market.
Tomorrow attention needs to be paid to data on the Australian labour market for December. The Unemployment Rate is expected to increase from 5.8% to 5.9%.
Support and resistance
A breakout of the level of 0.7070 (ЕМА200 on the hourly chart, ЕМА50 on the 4-hour chart) would send the pair towards 0.7100 (December lows), 0.7145 (ЕМА200, ЕМА144 on the 4-hour chart), 0.7200 (upper border of a descending channel on the 4-hour chart).
On the 4-hour chart, OsMA and Stochastic signal purchases, and start turning up on the daily chart as well.
Support levels: 0.6980, 0.6910.
Resistance levels: 0.7070, 0.7100, 0.7145, 0.7200, 0.7290.
Pending sell orders can be placed at the level of 0.6970 with targets at 0.6910, 0.6880, 0.6810 and stop-loss at 0.7010.
Pending buy orders can be placed at the level of 0.7080 with targets at 0.7110, 0.7145, 0.7200, 0.7300 and stop-loss at 0.7030.