Fundamental view:

Aussie showed a mixed trend for the past week. Investors were less interested in the greenback, affected by the lack of progress in Congress related to a stimulus aid package and tensions with China. Both issues moved to the background these last few days pressurizing Aussie. However ban on Tiktok at the end of the week supported dollar.

US JOLTS Job Openings on 10^th August, US Core PPI monthly report on 11^th August pushed the pair downwards whereas Australia Unemployment Rate on 13^th August and US Core Retail Sales monthly report favored upward trend for the pair.

The major economic events deciding the movement of the pair in the next week are RBA Monetary Policy Meeting Minutes at Aug 18, US Crude Oil Inventories, FOMC Meeting Minutes, OPEC-JMMC Meetings at Aug 19, Australia Flash Manufacturing PMI and Unemployment Claims at Aug 20.

AUD/USD Weekly outlook:

Technical View:

Last week’s high was 0.74% lower than the previous week. Maintaining high at 0.7189 and low at 0.7109 showed a movement of 81 pips.

In the upcoming week we expect AUD/USD to show a bearish trend.  The currency pair is trading above the 100 Simple Moving Average and the MACD trades to the downside. A solid breakout below 0.7124 may open a clean path towards 0.7076 and may take a way down to 0.7044. Should 0.7205 prove to be unreliable resistance, the AUDUSD may raise upwards 0.7237 and 0.7285 respectively. In H4 chart, if breakout of the Symmetrical triangle is to the downside then bearish expectation is favored. Also to be noted doji formation exerts the expectation of downtrend for the pair.