On the last trading day, the Australian Dollar (AUD) inched higher against the U.S. Dollar (USD). From the start of this month, the pair’s price continually tries to recover its lost position and succeed somehow, and today’s increase is due to the upcoming release of New Homes Sales ‘ major economic news and takes the price up to 0.7700.

HIA New Home Sales released by the Association for the Housing Industry presents the number of new home sales in Australia. It indicates the state of the housing market. And the economist expected that it might at 14.1 percent in January, but the month before the report marked it at 32.5 percent.

House buyers spend money on furnishing and financing their houses, raising demand for goods, utilities, and workers. A high reading for the AUD is bullish (or positive), whereas a low reading is bearish (or negative).

AUDUSD is trading approximately 0.7787 as of writing this piece. The pair may receive some support at multiple levels if the price started to fall, such as 0.7620, the confluence of trendline and horizontal support level which could serve as a strong support level, keeping the price to stick around this level.

Moreover, ahead of the release of the U.S. Consumer Price Index (CPI) Ex Food & Energy news, the AUDUSD might fall.

The US Department of Labor Statistics plans to release figures for the Consumer Price Index (CPI) Ex Food & Energy Today (February 10, 2021). According to economists’ view, the Consumer Price Index (CPI) Ex Food & Energy registered a reading of 0.2% in January, as compared to the reading of 0.1%, in the month before.

Conclusion

Considering the price behavior of the pair over the last couple of days, buying it around current levels might yield some quick profits in short to medium term trading.