AUDUSD analysis 08.06.2020

The Australian dollar fluctuated in a narrow range tilted to the upside during the Asian session to promise to end its longest daily gains march since late 2017 and early 2018 against the US dollar amid the scarcity of economic data on Monday by the Australian economy and its US economy the largest economy in the world and in the wake of economic developments and data It was adopted earlier this week by the Chinese economy as Australia's largest trading partner.

At 02:04 am GMT, the Australian dollar pair fell against the US dollar by 0.10% to 0.6972 levels compared to the opening levels at 0.6979, after the pair achieved its lowest level during the trading session at 0.6964, while the pair achieved its highest at 0.7003, with Knowing that the pair started the trading session on an upward price gap after it concluded the trading last week at 0.6969.

We have just followed up on the Chinese economy, the largest economy in Asia and the second largest in the world, the release of the Trade Balance Index reading, which showed the widening of the surplus to 443 billion yuan, equivalent to $ 62.9 billion, compared to a surplus of 318 billion yuan, equivalent to $ 45.3 billion in April / Last April, contrary to expectations that the surplus will shrink to 283 billion yuan, equivalent to $ 41.4 billion, with the decrease in exports and the decline in imports.

On the other hand, the markets are looking for tomorrow, Tuesday, for the launching of the activities of the Federal Open Market Committee meeting that will be held tomorrow and after tomorrow, Wednesday, via satellites in Washington, through which the short-term benchmark interest rates for the second meeting are expected to remain between zero and 0.25% in conjunction With the disclosure of the expectations of members of the Committee to the rates of growth, inflation and unemployment in addition to the future interest rates for the next three years.

Up to the press conference to be held by Federal Reserve Governor Jerome Powell on Wednesday, exactly half an hour after the FOMC meeting ended, to comment on the decisions of the Federal Committee, which recently adopted many stimulus programs until the economy showed signs of recovery, led by the Treasury bond purchase program at $ 500 One billion monthly and mortgage bonds, at least $ 200 a month.

Technical analysis

The Australian dollar versus the US dollar continues to try to breach the 0.7000 level but finds a strong resistance barrier there, waiting for a positive incentive enough to push the price to confirm the breach of the mentioned level and open the way for heading towards our next main target at 0.7200.

In general, we continue to suggest the bullish trend for the next period unless 0.6884 level is broken and stability below it.

The expected trading range for today is between 0.6900 support and 0.7050 resistance

Expected trend for today: bullish