AUD/USD getting pulled back toward 0.6450 as market sours on US data miss

• The AUD/USD is getting yanked back towards 0.6450 on Thursday.
• Market sentiment is twisting towards the downside following US data misses.
• US housing data to wrap up the trading week.

The AUD/USD saw some early gains on Thursday following better-than-expected data figures for Australia, but a miss in the print for US economic numbers is sending market sentiment lower across the board.

Upbeat labor & employment data sent the Aussie (AUD) up to 0.6508 against the US Dollar (USD) before a broad miss for US unemployment claims and industrial capacity shuttered risk appetite for Thursday. The AUD/USD is now testing back toward 0.6450 in the back half of Thursday's trading.

Australia added 55K jobs in October, an upside beat of the expected 20K and handily vaulting over September's print of 7.8K, which was revised upwards from 6.7K.

On the US side, Initial Jobless Claims for the week into November 10th showed 231K new claims for unemployment benefits, nearly a two-year high for the figure. Markets were forecasting 220K, a tick above the previous week's 218K (revised from 217K).

US Industrial Production declined in October by 0.6%, worse than the expected 0.1% contraction, eating away at the previous month's meager 0.1% (revised down from 0.3%).

Friday brings US Housing Starts and Building Permits for October. Median market forecasts are expecting slight declines in both figures, with Housing Starts seen dipping from 1.358M to 1.35M; US Building Permits are forecast to decline from 1.471M to 1.45M.

AUD/USD Technical Outlook

With the Aussie slipping back towards the 0.6450 level, a sustained drop in the AUD will take the pair back down towards the 0.6400 handle where the 50-day Simple Moving Average (SMA) currently awaits.

The topside ceiling currently sits just below 0.6550, with a descending 200-day SMA piling on downside pressure from 0.660.

AUD/USD Daily Chart

AUD/USD Technical Levels