Close of Asian Markets
Economic Events: (GMT)
13:30 USD Initial Jobless Claims 385.00K 399.00K
13:30 USD Continuing Jobless Claims 3590.00K 3628.00K
Initial Jobless Claims measures the number of individuals who filed for unemployment insurance for the first time during the past week. This is the earliest U.S. economic data, but the market impact varies from week to week.
Continuing Jobless Claims measures the number of unemployed individuals who qualify for benefits under unemployment insurance.
A higher than expected reading should be taken as negative/bearish for the USD, while a lower than expected reading should be taken as positive/bullish for the USD. If the report comes in under the 385K we can expect to see the USD fall against the AUD, but if the report is at the 399K level or above expect to see the USD rally and trend upwards on solid economic news.
00:30 AUD Import Price Index (QoQ) 0.60% 0.00%
The Import Price Index measures the change in the price of imported goods and services purchased domestically.
A higher than expected reading should be taken as positive/bullish for the AUD, while a lower than expected reading should be taken as negative/bearish for the AUD.
Analysis and Recommendation:
Support and Resistance can be found at these levels
S: 1.0293 1.0326 1.0371
R: 1.0449 1.0482 1.0527
AUD/USD was trading at 1.0393
The AUD fell against the USD on bad unemployment numbers just out.
AUD/USD dropped to 1.0400 during Asian session, falling 0.33% and recovering from a low of 1.0377.
The duo was likely to find support 1.0326, and resistance at 1.0449,.
The Ozzie government data showed the economy lost 29,300 jobs in December, much worse than expected as the forecast called for the addition of 10,000 jobs.
The data sent the ANZ crashing as traders saw the weak jobs data, coupled with expectations that inflation data could be soft as well, promoted the predictions that the Reserve Bank of Australia will cut interest rates at its next monetary policy meeting.
The USD is expected to pick up strenght today on the US unemployment data. If the US figures come within forecast or exceed, this will push the USD up and put additional pressure on the AUD.