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FxWirePro: AUD/USD capped at 5-DMA, recession fears and weaker oil prices weigh on the Aussie

AUD/USD chart - Trading View 

AUD/USD was trading 0.27% lower at 0.6007 at around 04:50 GMT, lower from session highs at 0.6049.

The pair is extending declines for the 5th straight session, Aussie tracking the decline in the oil benchmarks.

Price action has resumed downside after recovery was rejected at 21-EMA, broad-based US dollar strength to keep pressure. 

Major trend is strongly bearish and minor trend has turned bearish. 5-DMA has turned south and RSI has slipped below 50.  

Friday's jobs data, showed the American economy lost 701,000 in March, ending 113 straight months of job growth.

However, risk-on fostered by reports of a slowdown in the number of coronavirus cases in some of the worst-hit countries like the US, Italy, and Spain keeps the greenback supported.

Resumption of weakness will see test of 88.6% Fib at 0.5495. Violation there will see test of 2001 lows at 0.4776.

5-DMA is immediate resistance at 0.6058. Break above 21-EMA could change near-term dynamics.
 

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