AUD/USD has been quite volatile amid the bullish momentum after breaking below 0.7150 with an impulsive bearish daily close recently. USD has been the dominant currency in the pair. However, despite positive employment reports recently USD has been struggling to sustain the positive momentum amid the economic reports.
AUD has been quite mixed in light of the recent economic reports which triggered certain correction and indecision in the pair. Ahead of the high impact economic reports to be published tomorrow, AUD is expected to remain volatile and indecisive in the process. Tomorrow Australia's Employment Change report is going to be published which is expected to increase to 16.5k from the previous figure of -3.9k and Unemployment Rate is expected to be unchanged at 5.3%.
On the other hand, today US PPI report was published with a decrease to -0.1% from the previous value of 0.0% which was expected to increase to 0.2% and Core PPI also decreased to -0.1% from the previous value of 0.1% which was expected to increase to 0.2%. Moreover, today Crude Oil Inventories report is going to be published which is expected to increase to -1.3M from the previous figure of -4.3M. Besides, FOMC Member Brainard is going to speak about the upcoming monetary policy decisions.
Meanhwile, USD has been struggling for gains amid the recent economic reports, whereas any positive figures of the upcoming Australia's Employment reports are expected to inject impulsive bullish momentum in the pair, encouraging a further gain against USD in the process in the nearest days.
Now let us look at the technical view. The price has been quite bullish with the recent price action after breaking below 0.7150 with a daily close. The price has formed a Bullish Regular Divergence recently which does indicate about further bullish momentum in the pair before pushing lower again with the trend. A daily close above 0.7150 will lead to impulsive bullish momentum with a target towards 0.7250 before pushing lower.
SUPPORT: 0.7050
RESISTANCE: 0.7150, 0.7250, 0.7500
BIAS: BEARISH
MOMENTUM: VOLATILE
