Forex Marketz Daily Forex News – Fully Markets Update
The Australian dollar is looking weak against the U.S. dollar as we head into a new week. The AUD/USD currency exchange rate is trading just below the short-term twenty (20) day simple moving average and just above the one hundred (100) day simple moving average on the above daily MT 4 price action chart.
The long-term daily moving averages, which include both the one hundred and two hundred (100, 200) day simple moving average are lifeless and flat.
The economic calendar, for Monday, is not too active. The financial markets in the United States are closed for the Memorial Day holiday. Australia will feature the Commonwealth Bank purchasing managers’ index (PMI) as well as the AIG performance manufacturing index. The Down Under will also release monthly consumer credit data.
The euro area will publish their monthly harmonized consumer price index (CPI). The Eurozone’s largest economy, Germany, will also publish their monthly harmonized consumer price index (CPI). The United Kingdom has no economic data releases on the docket.
Daily Australian Dollar Technical Analysis (AUD/USD)
Looking at price action on the above daily chart, the technical indicators are sloping lower. The 14 day MACD histogram is already negative and the 14 day relative strength index (RSI) is steady above the midline.
The Australian dollar, as mentioned above, closed last week below the 20 day simple moving average. The AUD/USD currency exchange rate is challenging the 100 day simple moving average and the long-term 200 day simple moving average has a small bullish slope. That downside barrier lines up at 0.7510.
With that said, the Australian dollar has immediate technical support in play at a congestion zone lining up at 0.7660 to 0.7670. A daily close below 0.7660 opens the door to challenge the yearly low price point at 0.7530.
On the upside, near term technical resistance lines up at 0.7770 with 0.7780 then coming into play next. The next upside barrier lines up at 0.7820 with 0.79 then coming on the radar.
