AUD/USD a little over a week ago, it is noted that the technical picture had turned more bullish, presenting a favorable buying opportunity should the price retrace to the nearest support level at $0.6716. The price did reach this level; however, there was no subsequent bounce, indicating that it was not a precise or beneficial assessment. Today, we observe that the last three weeks have essentially been characterized by a flat consolidation, remaining within a range of approximately 100 pips, or perhaps even less for the majority of the period.
While the consolidation appears relatively flat, it is evident that a long-term bullish trend is in place. Therefore, entering a buy position on a bullish bounce at a significant support level is likely the optimal strategy for trading this currency pair. The support at $0.6661 appears to be crucial and robust. A sustained break below $0.6661 would indicate a bearish signal, albeit one that is not particularly strong. A bullish breakout beyond $0.6760 would indicate positive momentum and could serve as a potential entry point for a long position.
Today, there are no significant events on the calendar that pertain to the AUD. Concerning the USD, the Unemployment Claims data will be released at 1:15 pm London time today, with JOLTS Job Openings and ISM Services PMI set for 3pm.