The AUD/USD been trending lower, but that appears to have ended thanks to a better than expected jobs report.
In December, Australia created 21.5K new jobs vs 18K expected. While the official unemployment rate fell to 5.0% vs 5.1% expected.
This is a strong set of data points and the AUD/USD is pushing up around 0.3%.
Many had expected a strong number as much of the second tier employment data on jobs ads etc has been quite strong. That’s despite some economic headwinds, including a falling housing market and weak retail sales.
So to see a beat here is quite bullish.
Australian equities are higher today, but only marginally. So while the number was a beat, it wasn’t massive like we’ve seen in the past.
The key support below is 0.7050 and then 0.7000.
0.7300 is R2 and the most recent highs sitting at 0.7400.