AUDUSD at Weekly Highs, Strong Resistance at 0.6903
AUDUSD continues higher for the third consecutive session adding 0.16% at 0.6896 as the pair got a boost yesterday from robust employment data. The unemployment rate came lower at 5.2% below market expectations of 5.3%. The Employment Change came in at 39.9K beating the expectations of 14K. The Participation Rate came in at 66% in line with expectations. The Australia Westpac Leading Index (month over month) declined to -0.09% in November from previous -0.08%
The robust job data might delay the next interest rate cut by RBA. The central bank said that the economy is in a gentle turning point, and that view supported by the jobs data. Moody’s credit rating last week cut Australian growth forecast to 2.2% for 2020.
AUDUSD makes an attempt to weekly highs as the pair rebounded after it tested the 50-day moving average at the start of the week. The previous week AUDUSD failed to hold above the 200-day moving average and the rejection followed by a short correction.
Today the forex pair approaches again the crucial 200-day moving average. The first resistance stands at 0.6900 the daily top. A break above might attract more bids and will open the way for a move up to 0.6903 the 200-day moving average. A credible settlement above the 200-day moving average might be the start of another leg higher.
On the downside, immediate support for the pair stands at 0.6882 today’s low and then at 0.6848 the low from the trading session yesterday. Bears next target will be 0.6836 the 50-day moving average. In case that the sellers break below that level then a move down to 0.6806 the 100-day moving average looks possible.