AUD/USD Forecast: Pressured By The Negative Market's Sentiment

AUD/USD Current Price: 0.7522

• Australian Retail Sales surged by 7% in November, according to preliminary estimates.
• The poor performance of equities weighed on the Australian dollar.
• AUD/USD pressured by the negative market’s sentiment, bearish in the near-term.

The AUD/USD pair was unable to retake the 0.7600 threshold despite encouraging Australian data, ending the day in the red amid a persistent dismal mood. The Australian dollar found temporal support in local Retail Sales, as the preliminary estimate of the November reading came in at 7%, largely surpassing the previous 1.4%. The pair posted a daily low of 0.7516 during the American afternoon, dragged by the poor performance of Wall Street.

Early on Wednesday, Australia will publish the November Trade Balance and Private Sector Credit for the same month.

AUD/USD Short-Term Technical Outlook

The AUD/USD pair is at risk of extending its decline in the near-term, according to the 4-hour chart. The pair remains below a bearish 20 SMA, although above bullish larger ones. Technical indicators have resumed their declines within negative levels, in line with a bearish continuation towards 0.7470, a strong static support level.

Support levels: .7515 0.7470 0.7430

Resistance levels: 0.7555 0.7600 0.7640

View Live Chart for the AUD/USD

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