Australian Dollar Analysis 19-06-2020

The Australian dollar fluctuated in a narrow range tilted to the upside during the Asian session, to prepare for the resumption of its weekly gains rallies that stopped last week for the first time in four weeks against the US dollar, following the developments and economic data that it had reported on the Australian economy and on the cusp of developments and economic data expected Friday by the economy Which includes the speech of the members of the Federal Open Market Committee.
 
At exactly 03:19 am GMT, the Australian dollar pair rose against the US dollar by 0.13% to 0.6861 levels compared to the opening levels at 0.6852, after the pair achieved its highest level during the trading session at 0.6867, while the pair achieved its lowest at 0.6841.
 
We have followed the Australian economy to reveal the seasonally adjusted initial reading of the retail sales index, which reflected an increase of 16.3 compared to a decline of 17.7% last May, and this comes hours after labor market data showed high unemployment rates to the highest since October of the year 2001 to 7.1% over the past month, with the change in employment showing a decrease of 227.7k in May.
 
On the other hand, investors are currently awaiting by the US economy the release of the current account reading, which may reflect the deficit shrinkage to $ 101 billion compared to $ 110 billion during the past fourth quarter, before we witness the talk of the Deputy Governor of the Federal Reserve and a member of the Federal Open Market Committee Randall Quarles about bank solvency tests at the Women's Public Policy Event on Housing and Satellite Finance.
 
Up to the participation of Federal Reserve Governor Jerome Powell with the President of the Cleveland Bank and member of the Federal Open Market Committee Loretta Mester in a hypothetical discussion about building a flexible workforce during the era of Corona Virus at the Youngstown Community Event in Ohio, and this comes hours after the expiry of the certification activities The Governor Powell's semiannual about monetary policy in front of Congress.
 
We would like to point out, because Powell Naughty testified before the Congress that there is a state of uncertainty about the timing and strength of the potential economic recovery and that the current downturn may lead to widening inequality within America in the event that the matter is not contained, while touching that "until the confidence is restored that the Corona pandemic is under control." , A full recovery will not be possible "and that" the downward curve continues and with it the possibility of jobs falling under the risk of final loss and business closure "

Technical analysis
 

The Australian dollar pair against the US dollar ended yesterday's trading without the support of the bullish channel, to fall under expected negative pressure during the coming period, on its way to visit the 0.6700 level which represents the Fibonacci retracement level of 23.6% for the rise that was measured from 0.5509 to 0.7064.
 
Therefore, a bearish bias will be favored for today, noting that a breach of 0.6920 will stop the suggested negative scenario and lead the price to resume the main bullish trend again.
 
The expected trading range for today is between 0.6790 support and 0.6920 resistance
 
Expected trend for today: bearish