September 2, 2021

Daily U.S. Session Watchlist: AUD/USD

 Uncle Sam is about to print reports that may or may not support yesterday’s disappointing ADP report.

How will today’s trends affect AUD/USD’s reaction to a resistance zone?

Before moving on, ICYMI, today’s Asia-London session watchlist AUD/NZD’s technical area of significance while watching out for pandemic-related updates. Be sure to check out if it’s still a valid play!

And now for the headlines that rocked the markets in the last trading sessions:

Fresh Market Headlines & Economic Data:

U.S. private payrolls rise by 374,000 in August – badly missing estimates as virus cases surge higher

U.S. SEC sues BitConnect founder over alleged $2 bln cryptocurrency fraud

Rising export prices lift New Zealand’s merchandise terms of trade in June quarter

Australia trade surplus hits record in July as resources boom

Asia stocks in cautious mood, dollar near 1-mth lows

Oil drops after OPEC+ reaffirms supply return as demand wavers

Upcoming Potential Catalysts on the Economic Calendar:

Eurozone’s PPI at 9:00 am GMT

U.S. Challenger job cuts at 11:30 am GMT

U.S. building permits at 12:30 pm GMT

U.S. trade balance at 12:30 pm GMT

U.S. initial jobless claims at 12:30 pm GMT

U.S. factory orders at 2:00 pm GMT

If you’re not familiar with the forex market’s main trading sessions, check out our Forex Market Hours tool.

What to Watch: AUD/USD

Australia had done it again!

Data printed earlier showed the Land Down Under clocking in a record-high trade surplus in July thanks to strong increases in iron ore, core, and liquefied natural gas exports. The report came a day after the economy’s Q2 2021 growth figures also surprised to the upside.

It’s not the G.O.A.T results but it’s not not GOAT vibes, ya know what I mean? Aussie bulls partied in the pip streets and now AUD/USD is trading just above the .7350 zone.

Thing is, the .7400 resistance is literally hanging over AUD/USD’s rally. As you can see, the psychological level helped the Aussie end the month near its monthly lows.

Can AUD/USD eke out more gains? All eyes will be on the U.S. Challenger job cuts and initial jobless claims, which may or may not back up the anti-dollar ADP report from yesterday.

If today’s employment-related releases point to a weak U.S. non-farm payrolls (NFP) reading tomorrow, then AUD/USD could break through .7400 like bullet through toilet paper.

But if today’s reports hint at more labor market wins for Uncle Sam, or if traders take some of their high-yielding bets off ahead of the NFP release, then AUD/USD could retrace to this week’s inflection points or dip closer to the 100 and 200 SMAs.