Current trend

Against neutral dynamics of the American dollar, the AUD/USD pair is correcting in a sideways trend at 0.6703.

The Australian dollar is under pressure, and macroeconomic statistics cannot support the currency. The unemployment rate, taking into account seasonal fluctuations, remained at 4.1%, facilitated by an increase in employment by 44.4K to 14.514M. The number of unemployed people rose by 1.1K to 621.1K, which was fully offset by an increase in employment. Thus, the employment-to-population ratio increased to 64.4%, the economically active population rate increased from 67.1% to 67.2%, the full-time employment rate increased by 51.6K to 10.028M, and the part-time employment rate increased by 12.5K to 4.493M. The monthly number of hours worked amounted to 1.968M. The indicators returned to the growth trajectory but not enough to sustainably increase the national currency.

The American dollar is holding at 103.30 in the USDX against poor data on the real estate market, the most lagging sector of the national economy. The September housing starts decreased by 0.5% from 1.361M to 1.354M, interrupting a two-month positive period, and building permits fell by 2.9% from 1.470M to 1.428M, putting significant pressure on the currency.

Support and resistance

On the daily chart, the trading instrument is correcting near the channel support line with dynamic boundaries of 0.7000–0.6620.

Technical indicators are strengthening the sell signal: fast EMAs on the Alligator indicator have crossed the signal line downwards, expanding the range of fluctuations, and the AO histogram is falling in the sell zone.

Resistance levels: 0.6740, 0.6880.

Support levels: 0.6660, 0.6540.

Trading tips

Short positions may be opened after the price declines and consolidates below 0.6660, with the target at 0.6540. Stop loss — 0.6720. Implementation period: 7 days or more.

Long positions may be opened after the price grows and consolidates above 0.6740, with the target at 0.6880. Stop loss — 0.6690.