Current trend

The AUD/USD pair is correcting at around 0.6585 during the Asian session: the Australian currency is actively adding value with the support of macroeconomic statistics.

The Export Price Index decreased by 2.1% in the first quarter and by 8.3% in annual terms, driven by cheaper prices for raw fertilizers and minerals by 58.1%, as well as metal-bearing ores by 1.6% and natural gas by 1.0%. In turn, the Import Price Index adjusted by -1.8%, and the annual figure was -0.7%. The goods prices of which fell the most were oil and petroleum products (-6.4%), electrical machines and devices (-4.9%), as well as medicines and pharmaceutical products (-3.5%).

In turn, US dollar quotes continue their negative trend, trading around 105.300 in USDX. Investors showed almost no reaction to the report on the Core Personal Consumption Expenditures - Price Index, which added 0.3% in March, and in annual terms maintained growth at 2.8%, completely matching forecasts. Personal Income in March increased by 0.5%, and Personal Spending added 0.8%, which also coincided with the February figure. April data from the University of Michigan was again negative: the expectations index dropped to 76.0 points from 77.4 points, and the Michigan Consumer Sentiment Index dropped to 77.2 points from 79.4 points. 

Support and resistance

On the daily chart, the price continues to correct, rising again and approaching the resistance line of the ascending channel 0.6900–0.6500.

Technical indicators have almost reversed and issued a new buy signal: fast EMAs on the Alligator indicator are very close to the signal line, continuing to narrow the range of fluctuations, and the AO histogram, rising in the sell zone, strengthens the buy signal.

Support levels: 0.6550, 0.6450.

Resistance levels: 0.6610, 0.6720.

Trading tips

If the asset continues corrective growth and the price consolidates above the resistance level of 0.6610, long positions will be relevant with target at 0.6720. Stop-loss — 0.6550. Implementation time: 7 days and more.

If the asset continues global declining and the price consolidates below the support level of 0.6550, short positions can be formed with the target at 0.6450. Stop-loss — 0.6600.