Australian Jobs Data Saves AUD/USD From Further Plunge


 The Australian employment data report published in the Asian session this morning was seen to feature an encouraging reading for February.

This has had a positive effect on the movement of the Australian dollar, easing some of the pressure on trading in previous sessions in the wake of the Credit Suisse crisis issue.

However, analysts still see the risk-off market sentiment at this time will continue to make it difficult for the Aussie dollar to recover, instead giving an advantage to the US dollar currency to strengthen following the increased demand for safe-haven.

Examining the price chart of the AUD/USD currency pair on Wednesday trading yesterday, the price was seen testing the resistance zone at 0.67000 before the price began to move in a different direction due to the market's reaction to the crisis.

The price then eased to the 0.65900 level in the New York session yesterday, but a bounce back in the Asian session was saved by the published Australian jobs data.

However, the price movement is still below the Moving Average 50 (MA50) barrier on the 1-hour time frame on the AUD/USD chart, indicating that the bearish movement will continue.

The decline will test the support level that has been the focus since last week which is 0.65700.

Lower declines are expected to continue if the situation in the market remains unchanged and prices will continue to hunt for the latest 4-month lows.

However, if the rise continues again, the resistance at 0.67000 will be the first zone to be tested.

Successfully broken through, the price will continue to surge to several concentration levels that are higher such as 0.67700 or 0.68400.