The Australian dollar rose during the Asian session to see its rebound to its second low since March 14 against the US dollar following developments and economic data that followed the Australian economy and on the eve of developments and economic data expected Wednesday by the US economy, the largest economy in the world.
At 02:55 GMT, the AUDUSD rose 0.41% to 0.7100, compared to the opening levels of 0.7071, after reaching a high of 0.7105, while reaching a low of 0.7055.
We followed the Australian economy by reading AIG's Services Index, which showed a shrinking of 44.8 versus 44.5 last February, before we saw the Retail Sales Index, which showed a faster pace of growth to 0.4% versus 0.1% in January, beating expectations that the pace of growth accelerated to 0.3%.
This came in line with the release of the trade balance, which showed that the surplus widened to A $ 4.80 billion from A $ 4.35 billion in January, in contrast to expectations of a contraction of A $ 3.71 billion. The Fed kept interesting rates at 1.50% for the 30th consecutive meeting.
We also followed on Tuesday the disclosure of the Australian annual budget report by the Australian Ministry of the Treasury, which addressed the possibility of achieving surplus in the fiscal year 2020/2021 by 11 billion Australian dollars, amid expectations for the expansion of the Australian economy during the year 2019 and 2020 and 2021 by inflationary pressures stabilized at 2.25% in fiscal year 2019/2020 and at 2.5% in fiscal year 2020/2021.
On the other hand, markets are looking for the US economy to release preliminary data for the labor market with the publication of the Change in Private Sector Index, which may reflect the acceleration of job creation to 184,000 added jobs versus 183,000 jobs added in February, from revealing the monthly report of non-agricultural jobs and unemployment rates in addition to the average hourly income for the last month.
Leading to the final reading of the index of the Institute of Supply Services by Markit from the United States, which may reflect the stability of the breadth at 54.8 compared to 56.0 in February, before the disclosure of the index of the Institute of Supply Service, which may show the narrowing of the breadth to 58.1 compared to 59.7 in February, and we would like to point out, because the supply of services is important in the fact that the service sector in America represents more than two-thirds of GDP there.
Technical analysis:
AUDUSD tested the 0.7044 level and rebounded from there, so the bullish scenario remains effective over the coming period, supported by Stochastic positive, awaiting a major 0.7250 visit.
Keep in mind that a break of 0.7044 will halt the expected rally and push the price around 0.6900 initially.
The trading range for today is among the key support at 0.7044 and resistance at 0.7180.
The general trend for today is bullish.