The AUD/USD currency pair chart showed yesterday’s price decline that slipped against expectations of a rise with Australian jobs reports being the focus of investors.
Although the Australian employment data report for June published in the Asian session yesterday posted a positive reading, it still failed to provide support for the strengthening of the Australian dollar (AUD) to rise in weekend trading.
The Australian dollar was seen to be affected by risky market sentiment following China’s published economic growth data declining for second -quarter readings slightly dampening the outlook for global economic recovery.
Expectations of a slumped rise were also driven by the recovery of the US dollar after depreciation due to dovish comments of Federal Reserve (Fed) Chairman Jerome Powell on monetary policy.
The price on the AUD/USD chart is seen declining towards the support zone of 0.74000 in the New York session yesterday.
Last week, the price also dropped to that level but again showed a surge again. Will the same situation happen again this week?
The price movement below the Moving Average 50 (MA50) barrier level on the 1 -hour time frame on the AUD/USD chart gives an early signal for a lower price decline.
If the price drops lower breaking the support zone of 0.74000, the next target is seen to be heading to the level of 0.73000 with a decline of around 100 pips.
However, if the 0.74000 support zone manages to re -support the rise, the price will test the 0.75000 level to overcome the weekly resistance level.
A higher rise is seen to test the level around 0.75400 before heading to the focus resistance zone at 0.76000.
