AUDUSD analysis 13.08.2020

The Australian dollar fluctuated in a narrow range that tends to rise during the Asian session, to witness its rebound to the second session from its lowest since the fourth of August against the US dollar, following the developments and economic data that they followed on the Australian economy and on the cusp of economic developments and data expected today, Thursday, by the US economy The largest economy in the world.

At 02:48 AM GMT, the Australian dollar against the US dollar rose 0.10% to 0.7169 levels, compared to opening levels at 0.7162, after the pair achieved its highest level during the session's trading at 0.7188, while the pair achieved its lowest level at 0.7157.

We have followed up on the Australian economy the release of the Westpac Consumer Confidence Index reading, which showed an acceleration of growth to 3.3% compared to 3.2% last July, and this came before the labor market data was revealed with the release of the unemployment rate reading, which showed an increase to 7.5% from 7.4%. % Last June, below expectations for a rise to 7.8%, in conjunction with the employment change reading showing an increase of 114.7 thousand versus a rise of 228.4 thousand, surpassing expectations for a rise of 30.0 thousand.

On the other hand, investors are currently waiting for the US economy to see the release of the aid requests index reading for the past week on August 8th, which may reflect a decrease of 66 thousand applications to 1,120 thousand applications compared to 1,186 thousand applications in the previous reading. Continuing for the past week at the beginning of this month, a decrease by 209 thousand requests to 15,898 thousand requests compared to 16,107 thousand requests in the previous reading.

This comes in conjunction with the disclosure of the import price index reading, which may indicate a slowdown in growth to 0.6% compared to 1.4% in June, while the annual reading of the same index may show a contraction of the decline to 1.7% compared to 3.8%. Otherwise, investors are anticipating what will happen. The talks of the Republican and Democratic parties about the virus relief package that may have reached a dead-end between US lawmakers until further notice.

Technical analysis

The Australian dollar against the US dollar made attempts to breach the 0.7170 level, but closed the daily candle below it, which maintains the bearish trend scenario valid for the upcoming period, supported by the negative sign that appears on the stochastic indicator, waiting to visit 0.7065 then 0.7000 levels as next major stations.

On the other hand, we note that confirming the breach of 0.7170 will return the price to the main bullish path again.

The expected trading range for today is between 0.7100 support and 0.7220 resistance.

The expected general trend for today: Bearish.