AUDUSD awaiting NFP to find triangle pattern resolution

• US NFP to provide directionality to Aussie.
• Still vulnerable to the downside.

The AUDUSD is currently trading at around 0.7785 while it is sitting at support pinched between the 100 and 200-period moving averages. The large triangle pattern on the daily chart suggests that a breakout is imminent. The US Non-Farm payroll is expected at 200K on Friday. The news is often a market mover and this Friday might be no exception especially in the light of the technical configuration on the Aussie.

AUD/USD daily chart

Earlier on Thursday Donald Trump signed the Trade Section 232 Proclamation on Steel and Aluminium imports. A decision which is deemed by many highly controversial and created fear of trade wars. However, Canada and Mexico were exempted from the tariff of 25% on imported steel and 10% on aluminum. 

Also, on Thursday Australian trade balance came in at 1005m vs 300m with little to no impact. 

AUDUSD 4-hour chart

The AUS/USD has retreated from the 100 SMA and is now vulnerable to further downside to 0.7740 congestion zone and 0.7720 cyclical low. To the upside, resistance is seen at the 100SMA at 0.7835 and further up at 0.7880 cyclical high. 

AUDUSD 15-minutes chart

The Aussie declined on Thursday and found support close to the 0.7700 level. Resistance is seen at 0.7810 daily pivot and 100/200 SMA. Further up, the 0.7830 level was a former congestion area earlier today which should provide resistance.