FXStreet (Mumbai) – The Aussie fell back in the red zone in the European morning, reversing nearly half of yesterday’s rally.
NFP in focus
Currently, the AUD/USD pair trades -0.39% lower at 0.7317, having posted fresh session lows at 0.7313 last minutes. The Aussie remains heavily offered this session as the greenback remains strongly bid ahead of the US jobs report, which is expected to seal in a Dec rate hike deal later today.
The jobless rate is expected to remain steady at 7-year lows of 5% in Nov, while the US economy is expected to add solid 200k new jobs.
Earlier on the day, AUD/USD failed to benefit from the upbeat Australian retail sales data as markets resorted to profit-taking after Thursday’s extensive rally before the US payrolls data. Australia’s retail volumes rose 0.5% in October 2015 following an increase of 0.4% in September 2015, coming in line with estimates.
AUD/USD Levels to watch
The pair struggles above 0.73 handle with the immediate support is seen at 0.7263/60 (10-DMA/ 200-DMA). Selling pressure is likely to intensify below the last, dragging the Aussie to 0.7200/0.7199 (round number/ 50-DMA). On the flip side, the immediate resistance seen at 0.7365/66 (Oct 13 & 15 High), above which gains could be extended to the next hurdle located at 0.7414 (200-DMA).
(Market News Provided by FXstreet)