AUD/USD analysis: building up, but 0.7962 caps

Valeria Bednarik FXStreet

AUD/USD Current price: 0.7937

The AUD/USD pair closed the day modestly higher at 0.7937, having topped at 0.7950 early US session, the peak of dollar's selling, to later stabilize around the current level. The sour tone in equities limited Aussie's advance, but the overall risk is towards the upside short term. The Australian macroeconomic calendar will remain empty this week, which may end up benefiting the local currency, particularly if the dollar maintains its soft tone. After easing steadily for over two weeks, the pair seems to have managed to attract bulls once again, breaking above a daily descendant trend line last week, and even completing a pullback to it before resuming its advance, although it has been having a hard time to rally beyond the current region. The technical picture, according to the 4 hours chart, is modestly bullish, as the price is above a bullish 20 SMA, whilst the Momentum indicator turned flat right above its 100 level, while the RSI indicator also heads nowhere, but around 59. This month high stands at 0.7962, being the level to surpass to confirm an upward extension towards 0.8000 and beyond during the upcoming sessions.

Support levels: .0.7900 0.7870 0.7830

Resistance levels: 0.7965 0.8000 0.8045

View Live Chart for the AUD/USD

Author

Valeria Bednarik

FXStreet

Valeria Bednarik was born and lives in Buenos Aires, Argentina. Her passion for math and numbers pushed her into studying economics in her younger years.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.