AUD analysis 15.01.2020

The Australian dollar fluctuated in a narrow range tilted toward the decline during the Asian session, to witness its bounce for the eighth session in eleven sessions from the top since July 23 against the US dollar amid the scarcity of economic data by the Australian economy and on the cusp of developments, data and developments expected on Wednesday from Before the American economy the largest economy in the world.

At 02:35 am GMT, the Australian dollar pair fell against the US dollar by 0.09% to 0.6896 levels compared to the opening levels at 0.6902, after the pair achieved its lowest level during the trading session at 0.6891, while achieving the highest at 0.6905.

Investors are awaiting by the US economy the disclosure of the PPI reading, which is an initial inflation indicator that may reflect 0.2% growth versus stability at zero levels in November, while the core reading of the same indicator may show 0.2% growth versus 0.2% contraction, This coincided with the disclosure of industrial sector data with the release of the New York Industrial Index reading, which may reflect a widening of 3.7 to 3.5 in December.

This comes before we witness the talk of members of the Federal Open Market Committee, President of the Federal Reserve Bank of Patrick Harker about the normalization of monetary policy at the official forum of monetary and financial institutions in New York, and President of the Dallas Federal Reserve Bank Robert Kaplan at the Economic Club in New York, before the disclosure of The Big Book report, which is important in being published two weeks before the FOMC meeting.

Technical analysis

The Australian dollar versus the US dollar did not show any strong movement in the previous sessions, to continue fluctuating around 0.6900, and therefore, there is no change in the bullish trend scenario that depends on holding above 0.6875, while the next main target is at 0.7015.

The expected trading range for today is between 0.6870 support and 0.6950 resistance.

Expected trend for today: bullish.