Australian dollar traders are gearing up for a busy day today with the release of key employment data. The Aussie is trading at monthly lows, and a weaker-than-expected print below the forecasted 25k increase in employment, or a rise in the unemployment rate, could push it into fresh downside ranges. This would heighten expectations of an elusive Reserve Bank of Australia rate cut. Conversely, stronger data would likely push rate cut expectations further into 2025, resulting in a rally for the currency.
Short-term support is close to current levels at yesterday’s low and trendline support, offering both bulls and bears potential entry points on the data release. Most traders are still inclined to sell, following the current trend to favour the US dollar. Any rally is expected to face resistance just above the 67-cent mark, with further moves likely to be influenced by significant dollar flows later in the trading session.
Resistance 2: 0.6732 – 200-Day Moving Average
Resistance 1: 0.6719- Trendline Resistance
Support 1: 0.6656 – Trendline Support
Support 2: 0.6617 – September Low
