Non-Farm payrolls for October is due on Friday in the US. If the indicator comes in below the forecast, the Fed would be less likely to raise its interest rates before the end of the year and the USD would be under pressure.
According to TD Securities statistics, released today in Australia, zero was recorded in October. On an annual basis, the indicator grew by 1.8% against a 1.9% forecast. RBA Commodity Index left an annual decline at 19.8% in October.
The RBA meeting is due tomorrow. Due to weak and economic growth indicators, the Regulator may lower it interest rates. Otherwise, the AUD/USD pair would strengthen.
Support and resistance
An upward correction has stopped at the of 0.7155 (EMA144 on the hourly chart). OsMA and indicators recommend short positions.
The breakdown of the lower border 0.7070 of an upward channel on the may allow the price to decline to year lows at 0.6900. Alternatively, the price may grow to 0.7380 (October highs), 0.7430 (EMA144 on the ), 0.7500 (23.6% Fibonacci) but only after the consolidation above the level of 0.7190 (EMA50 on the ).
Support levels: 0.7100, 0.7070, 0.6960, 0.6910.
Resistance levels: 0.7155, 0.7170, 0.7190, 0.7325, 0.7380, 0.7400, 0.7430.
Short positions can be opened from the level of 0.7115 with targets at 0.7070, 0.7010, 0.6960, 0.6910 and stop-loss at 0.7180.
Long positions can be opened from the level of 0.7210 with targets at 0.7290, 0.7380, 0.7430 and stop-loss at 0.7170.