AUD/USD Technical Analysis: Multi-week-old support trendline in focus after Aussie data

• AUD/USD nears key support levels after Australian data.
• Aussie Wage Price Index (Q3) weakens on YoY basis after upbeat Westpac Consumer Confidence numbers.
• 100-day EMA restricts near-term upside, 0.6800 could please sellers after trend line breaks.

In a reaction to the Australian Wage Price Index data, AUD/USD drops further towards near-term key support line while trading around 0.6840 during the Asian session on Wednesday.

Australia’s third-quarter (Q3) Wage Price Index slipped below 2.3% forecast and prior to 2.2% on YoY while matching 0.5% market consensus on QoQ. Earlier, Westpac Consumer Confidence for November rose more than 2.0% expected and -5.5% prior to +4.5%.

Even if bearish signals from 12-Moving Average Convergence and Divergence (MACD) lure sellers, a daily closing below the six-week-old rising trend line, at 0.6820 now, becomes necessary for the pair to revisit 0.6800 mark. It should be noted that 50-day EMA level of 0.6832 offers the closest support to the pair.

During the quote’s declines below 0.6800, 23.6% Fibonacci retracement level of July-October downpour at 0.6766 and mid-October lows near 0.6720 will be in the spotlight.

On the upside, buyers will look for a clear break above 100-day Exponential Moving Average (EMA) level of 0.6856 to aim for a 50% Fibonacci retracement level of 0.6875 and then rise towards 0.6900 round-figure.

AUD/USD daily chart

Trend: Bearish