AUD/USD Forecast: Bullish Potential Is Still Limited, Needs To Regain 0.7700

AUD/USD Current Price: 0.7621

• Australian data was tepid, missing the market’s expectations.
• AUD/USD bullish potential is still limited, needs to regain 0.7700.

The Australian dollar was able to recover some ground against its American rival, ending the day near a daily high of 0.7627. The market’s optimism was offset by tepid Australian data, as the Commonwealth Bank Services came at 55.6 in January, missing the market’s expectations. The country published December Building Permits, which rose by 10.9% in the month. Australia will publish the December Trade Balance early on Thursday.

AUD/USD Short-Term Technical Outlook

The AUD/USD pair is still at risk of extending its decline, although the bearish potential receded in the near-term. In the 4-hour chart, the pair is meeting sellers around a bearish 20 SMA, which maintains its bearish slope below the larger ones. Technical indicators have moved away from intraday lows, but remain within negative levels and without directional strength.

Support levels: 0.7560 0.7520 0.7475

Resistance levels:  0.7645 0.7680 0.7730

View Live Chart for the AUD/USD