AUD/USD: trading below 2-month base, targeting 0.6940

By FXStreet FXStreet (Guatemala) – AUD/USD is currently trading at 0.7045 with a high of 0.7170 and a low of 0.7042.

AUD/USD is firmly offered and remains in the hands of the bears as it now tests the mid-way point of the 0.70 handle scoring fresh lows on the session post the Nonfarm Payrolls data in the US earlier.

Average hourly earnings posted the biggest year-over-year gain since 2009 and increased 0.4% vs the estimated 0.2% and previous 0.0% m/m, up 2.5% over the prev year while the headline number for October printed at 271K, smashing the estimate of 180K while the prior number was revised to 137K from 142K. This data leaves the cards down and offers a considerably higher percentage change of a Fed hike by December.

AUD/USD levels

Technically, AUD/USD now trades below the base of the 2 month channel at 0.7097, descending from the 0.7298/0.7385 Fibo retracement, 2014-2015 downtrend. Karen Jones, chief analyst at Commerzbank explained that medium term they continue to target the September low at 0.6940. “Below it lies the 0.6905 recent low and also the 0.6774 2004 low.”
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Source:: FX Street