What the Experts Say
Arch Capital Global Chief Economist Parker Ross commented on the last JOLTs Job Openings Report, stating,
“Although the May Job Openings and Labor Turnover Survey (JOLTS) showed slightly more job openings than expected (8.14m vs 7.95m consensus), the broader underlying downtrends remained in place. […]. The uptick in May merely kept the smoothed series from decelerating more quickly.”
Short-Term Forecast: Bullish
Near-term AUD/USD trends hinge on the Aussie inflation numbers and the Fed’s interest rate decision. Higher-than-expected Aussie inflation could raise bets on an RBA rate hike. Conversely, a more dovish Fed could signal multiple 2024 Fed rate cuts. Interest rate differentials could narrow in favor of the Aussie dollar and support an AUD/USD move toward $0.70.
Investors should remain vigilant, with Aussie and US economic indicators likely to create AUD/USD volatility. Monitor the real-time data, news updates, and expert commentary to adjust your trading strategies.
Stay updated with our latest views and analysis to manage exposures to the forex markets.
AUD/USD Price Action
Daily Chart
The AUD/USD remained well below the 50-day and the 200-day EMAs, sending bearish price signals.
A break above the $0.65760 resistance level would support a move toward the 200-day EMA. A breakout from the 200-day EMA could give the bulls a run at the 50-day EMA.
Aussie building permits and the US economic calendar require consideration on Tuesday.
Conversely, an AUD/USD drop below the $0.65 handle could bring the $0.64582 support level into play.
With a 14-period Daily RSI reading of 30.19, the AUD could drop below the Monday low of $0.6524 before entering oversold territory.
