Aussie jobs preview - what to expect in AUD/USD?

Currently, AUD/USD is trading at 0.7503, up 0.14% on the day, having posted a daily high at 0.7515 and low at 0.7488.

Fed overview: when 2 became 3, and a bit of Trump on the side

AUD/USD has dropped on the back of the Fed's hawkishness, but with the decision already priced in and a frenzy for dollar's as a result of Trumps policies that were proposed, the market is unable to extend lower right away. Positions towards the end of the year will be squared, so there is still time for a continuation on long dollar. We turn heads towards the final data release for the year and for today we have the Aussie jobs data.

Analysts at Westpac explained that, "Australia's jobs market went through a soft patch in Q3, but leading indicators point to some improvement in Q4. In Nov, we look for a 20k gain and a stable unemployment rate. Auschamber-Westpac survey for Q4 is due. AUD and home building have supported the manufacturing sector in 2016."

Market Outlooks

The analysts at Westpac suggested that the recent uptrend has been abruptly halted by the FOMC, AUD/USD heading towards the low 0.74s today.

AUD/USD 1-3 month: "The US dollar has had an impressive rise since the US election and has potential to rise further during the months ahead, not least because the Fed will probably hike in December. Against that, coal and iron ore are more likely to sustain their dramatic rises during the months ahead. We target 0.73."

AUD/USD levels to monitor

Current price is 0.7503, with resistance ahead at 0.7506 (Weekly Classic R1), 0.7506 (Yesterday's High), 0.7515 (Daily High), 0.7526 (Daily Classic R2) and 0.7532 (Daily 200 SMA). Next support to the downside can be found at 0.7493 (Weekly High), 0.7491 (Daily Open), 0.7490 (Daily Classic R1), 0.7488 (Daily Low) and 0.7484 (Hourly 20 EMA).

"We look for a retest of the 0.7312/10 mid June low and the 78.6% Fibonacci retracement at 0.7287/81. Further down lurks the May low at 0.7146," explained analysts at Commerzbank.