News

The Aussie Dollar chart and this morning's employment report

CMC Markets

The Australian August employment report will be released at 11.30 AEST. Consensus expectations are for jobs to be +10,200 compared to a decline of 10,200 in July. The unemployment rate is expected to nudge up to 5.8% from 5.7% as the volatile participation rate moves around. However, it also reflects the fact that jobs growth has not been enough to employ the growing workforce. Over the past 6 months, jobs growth has averaged 5,000/per month and the unemployment rate has risen from 5.4% While there is scope for the Aussie Dollar to be sold if the number is weak, the bigger risk could be to the upside if the number is particularly strong. There may be a tendency for the market to see a weak number as being a bit "historical" in the sense that it predates the election and the boost to business and consumer confidence we have seen since. A strong number would be a higher base on which any post election and China recovery improvement could be built. The hourly Aussie Dollar chart has a well defined trend channel that could provide some useful support and resistance levels for traders if they are either tested or broken. Check the chart forum attached to the AUDUSD chart for details.


Disclaimer: CMC Markets is an execution-only service provider. The material (whether or not it states any opinions) is for general information purposes only, and does not take into account your personal circumstances or objectives. Nothing in this material is (or should be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by CMC Markets or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although we are not specifically prevented from dealing before providing this material, we do not seek to take advantage of the material prior to its dissemination.