Aussie falls to eight month low on China tariffs; US NFP data next
The US dollar fell against safe-havens and rose against other currencies on news about new tariffs on goods from China, with Australian dollar being the top loser among major currencies.
The pair hit new eight-month low in extension of steep fall that lasts for eleven straight days and shows loss of 3.5% so far.
Bears were slightly slowed by better than expected Australian retail sales data released earlier today and may also react on deeply oversold stochastic, but US jobs data are expected to be the key mover today.
Upside surprise on NFP and earnings may boost the greenback and risk further fall of Aussie dollar, as fears of escalation of trade conflict maintain strong pressure.
On the other side, AUD bears may take a breather on NFP miss, but without significant upside action, as overall picture is firmly bearish.
Initial barriers lay at 0.6831/57, but firm break above 0.6900/10 is needed to signal stronger recovery.
Res: 0.6818; 0.6831; 0.6857; 0.6910
Sup: 0.6786; 0.6750; 0.6700; 0.6673