Bottom line: AUDUSD medium term bullish structure remains intact until prices stay above 0.5505 levels. A corrective drop towards 0.6150 remains possible in the short term, before rally resumes.
Fundamental Outlook:
AUDUSD has steadily risen to fresh monthly highs to 0.6450 until yesterday. The recent job outlook may dampen its further rise, at least in the short term. The job data to be out tomorrow is forecasting over 30K job losses in March and Unemployment rate is also set to increase to 5.4% over 5.1%.
The IMF predicts that both developed and emerging market economies shall face recession. It is believed that the ongoing COVID-19 pandemic is the worst since The 1929 Great Depression. Global equity markets may resume lower again as relief rallies are set to halt soon.
Oil prices declined by over 7.5% yesterday and closed below the 21.00 mark since March 31, 2020. The agreement between OPEC members to cut production by 10 million barrels per day over the next two months have failed to curb the drop. Possibilities of a price war is ruled out for now and this could be a positive for Oil.
Meanwhile U.S tops the list of the highest affected from COVID-19 crisis as numbers cross over 6 million. Around 325 new case were registered with 17 fresh casualties.
Technical Analysis:
AUDUSD bulls have managed to remain in control since 0.5505 lows on March 18, 2020. The single currency pair has managed to rally by over 900 pips towards 0.6450 levels until yesterday. A slight corrective drop towards 0.6150 remain possible before rallying further.
The fibonacci 0.382 retracement of the recent rally between 0.5660 and 0.6450, is seen towards 0.6152. This could be potential wave 4 termination before AUDUSD rallies towards 0.6790 levels to terminate wave 5.
Most traders might be willing to initiate fresh long positions around 0.6150 levels with protective stops below 0.5640 and projected targets above 0.6790 respectively.
Prepared by
Harsh Japee, Technical Analyst.
AUDUSD Chart
MyFxtops 邁投 (www.myfxtops.com) -Reliable Forex Copy Trade community, follow the master for free to trade!
Disclaimer: This article is reproduced from the Internet. If there is any infringement, please contact us to delete it immediately. In addition: This article only represents the personal opinion of the author and has nothing to do with Mato Finance The originality and the text and content stated in this article have not been confirmed by this site. The authenticity, completeness and timeliness of this article and all or part of the content and text are not guaranteed or promised. Please refer to it for reference only Verify the content yourself.
Copyright belongs to the author.
For commercial reprints, please contact the author for authorization. For non-commercial reprints, please indicate the source.
MyFxtops迈投(www.myfxtops.com)-靠谱的外汇跟单社区，免费跟随高手做交易！
免责声明：本文系转载自网络，如有侵犯，请联系我们立即删除，另：本文仅代表作者个人观点，与迈投财经无关。其原创性以及文中陈述文字和内容未经本站证实，对本文以及其中全部或者部分内容、文字的真实性、完整性、及时性本站不作任何保证或承诺，请读者仅作参考，并请自行核实相关内容。
著作权归作者所有。
商业转载请联系作者获得授权，非商业转载请注明出处。
