Better than expected employment but gains could not be held.
The Australian employment report came in better-than-expected. Jobs rose by 7.3K vs 0.0K estimate, the unemployment rate fell to 6.0%. There were more full time jobs added. The AUDUSD has a volatile time of it immediately after the report but then rallied above the 100 hour MA (blue line in the chart below). . That break could not be sustained and the price rotated back lower. We have just seen a retest of the 100 hour MA and it seems that sellers are coming in against the level (at 0.74638).
The AUDUSD will likely have trouble rallying given the slowdown expected in China, lower commodity prices. The 0.7500 level was a target level at one point but now seems to be a ceiling now for the pair. It will take a move and close above the 100 hour MA and then the 0.7500 level to probably catch the attention of shorts. Until then, the shorts will remain in control.
