Upbeat Australian employment figures boost RBA rate hike bets, lifting the pair to near one-month highs amid modest USD decline.
The AUD/USD pair climbed to 0.7020 in Asian trading Thursday, supported by stronger-than-expected Australian jobs data. The report increased expectations for another Reserve Bank of Australia interest rate hike, while a slight pullback in the USD added further momentum.
The pair reached its highest level since late May, though gains were tempered by rising US-Iran tensions and oil price surges. These factors stoked inflation concerns and reinforced hawkish Federal Reserve expectations, limiting USD downside. Technically, the pair holds above key support levels, including the 38.2% Fibonacci retracement and the 100-period EMA.
Market focus now shifts to resistance at 0.7033 (50% Fibonacci level) and 0.7072 (61.8% retracement). The RSI at 59.45 suggests room for further upside, though the MACD’s flattening indicates cautious momentum.