Market Research and Analysis

Daily Market Analysis Report

Mon, 02 Jan 2017 06:59 AM GMT

Author: Senior Forex Analyst, Arslan Ali Butt

  • Daily Trading Range:
  • 0. 7450 – 0.7085
  • Support & Resistance Levels:
  • R3:     0.7368

    R2:     0.731

    R1:     0.7273

    Pivot Point:     0.7215

    S1:     0.7157

    S2:     0.712

    S3:     0.7062

  • Trading Recommendation:
  • Sell Below: 0.7235

    Take Profit:

    1st @ 0.7175

    Stop Loss @ 0.7250

AUDUSD

On Monday, the AUDUSD is trades at 0.7209 just around a Friday’s close as the market is facing very thin volatility in the absence of any major economic event. The pair seen expanding on to its force back over 0.7200 handle. As of now trading around 0.7215 area, the US Dollar shortcoming no matter how you look at it helped the pair to bounce back from more like 7-month lows. Additionally helping the pair’s recuperation on Thursday is bounce back in base metal costs, particularly Copper, and a sharp slide in the US Treasury security yields, which is seen loaning backing to higher-yielding monetary standards – like the Aussie.

2-jan-aud
Fundamental Overview

The US Dollar remained supported and dragged the exchanged rate lower as In the week ending December 24, the advance figure for seasonally adjusted initial claims was 265,000, a decrease of 10,000 from the previous week’s unrevised level of 275,000. The 4-week moving average was 263,000, a decrease of 750 from the previous week’s unrevised average of 263,750. There were no special factors impacting this week’s initial claims. This marks 95 consecutive weeks of initial claims below 300,000, the longest streak since 1970. The advance seasonally adjusted insured unemployment rate was 1.5 percent for the week ending December 17, unchanged from the previous week’s unrevised rate.

Today on Monday, the investors are recommended to monitor the following events:

AUD

  • Bank Holiday

USD

  • Bank Holiday

Technical Overview

Technically, the AUDUSD remained slightly bearish, as the pair trades around 0.7205, fell after breaking a major support level of 0.7165. Further, it also broke below a bullish trend line support level of 0.7490 in a previous week. The RSI value is unchanged at 35 slightly up from 33, representing a crossover in a pair. Today, the AUDUSD can find a resistance at 0.7240 and 0.7285, further the supports remains at 0.7140 and 0.7090.

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