The AUD/USD currency pair on Friday bounced off the 100-hour moving average to trade above the 0.7040 level after the US data. The currency pair appears to be trading within an ascending consolidative triangle formation in the 60-min chart.
The rebound has now pushed the currency pair relative higher above the moving average indicator. However, it remains several levels off overbought conditions of the 14-hour RSI, leaving more room for upward movement.
AUD/USD Fundamentals Overview
From a fundamental perspective, the AUD/USD currency pair is trading at the back of a relatively busy period in both markets. On Thursday, the US initial jobless claims for the week ending May 13 came in at 218k, 18k higher than the predicted claim count of 200k. On the other hand, the continuing claims for the period posted 1.317 million, which was lower than the consensus forecast of 1.32 million.
Elsewhere, the Philadelphia Fed Manufacturing Survey for May returned negative data of 2.6 compared to the expected reading of 16, while the existing homes sales came short on both the count basis and by percentage change.
In Australia, the seasonally adjusted employment change for April missed the expectation of 30k with 4k, while the participation rate came short of 66.4% with 66.3%. On the other hand, the unemployment rate for April matched the expectation of 3.9% while full-time employment increased by 92.4k with part-time falling by 88.4k.
AUD/USD Technical Analysis (the 60-min Chart)
Technically, the AUD/USD currency pair seems to be trading within an ascending consolidative triangle formation in the 60-min chart. This indicates a significant short-term bullish bias in the market sentiment.
Therefore, the bulls will be targeting potential triangle breakout profits at about 0.7067, or higher at 0.7097. On the other hand, the bears will target potential pullbacks at about 0.7015, or lower at 0.6984.
AUD/USD Technical Analysis (the Daily Chart)
In the daily chart, the AUD/USD currency pair seems to be trading within a sharply ascending channel formation. This indicates a strong long-term bearish bias in the market sentiment.
Therefore, the bears will be looking to extend the current declines toward 0.6941 or lower to 0.6827. On the other hand, the bulls will be targeting potential rebounds at about 0.7152, or higher at 0.7266.