Aussie Dollar US Dollar

AUD/USD Analysis – Aussie Dollar Remains Bearish Vs US Dollar

  • The Aussie Dollar struggled a lot lately and moved below the 0.7600 support against the US Dollar.
  • There are two crucial bearish trend lines with resistances as 0.7600 and 0.7615 forming on the hourly chart of AUD/USD.
  • In Australia, the HIA/AiG Performance of Construction Index for June 2017 was released by the Australian Industry Group and the Housing Industry Association.
  • The result was a bit lower than the last reading of 56.7, as the index came in at 56.0.

AUD/USD Technical Analysis

The Aussie Dollar after failing to close above 0.7700 started a downside move against the US Dollar, and declined below several supports like 0.7680 and 0.7650.

The AUD/USD pair decline was such that the pair even traded below the 0.7600 handle recently and posted a new weekly low of 0.7571.

The pair is currently correcting higher and already moved above 23.6% Fib retracement level of the last decline from the 0.7613 high to 0.7571 low.

AUD/USD Hourly Chart

AUD/USD Technical Analysis

There are two crucial bearish trend lines with resistances as 0.7600 and 0.7615 waiting to act as a barrier for buyers if the pair continues to move higher.

Moreover, the 50% Fib retracement level of the last decline from the 0.7613 high to 0.7571 low is also near 0.7592.

It seems like the pair might continue to move higher, but it won’t be easy for buyers to take AUD/USD above 0.7620 or 0.7650.

HIA/AiG Performance of Construction Index

Today in Australia, the HIA/AiG Performance of Construction Index for June 2017 was released by the Australian Industry Group and the Housing Industry Association. The market was not expecting any major decline in the index from the last reading of 56.7

The actual result was a bit lower than the last reading of 56.7, as the index came in at 56.0. The construction activity and capacity index posted a decline of 3.2 points and came in at 53.1.

The report mentioned that:

Across the four sub-sectors in the Australian PCI®, house building rebounded strongly in June, with the sector’s rate of growth reaching a three-month high. However, activity in the more volatile apartment building sector weakened significantly.

Overall, the AUD/USD might continue to struggle to move above 0.7620 in the near term and remains a sell on rallies.

About Aayush Jindal 109 Articles
With over 10 years of experience and still counting, Aayush posses great technical and fundamental analysis skills in the Forex, Cryptocurrency and Financial Markets. His Analysis are well-know and famous for engaging with viewers easily. He is from IT background with a lot of passion in the Forex and Cryptocurrency Arena.


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