When is the Australian Trade Data and how it could affect AUD/USD?

The Australian Trade Data Overview

The Australian Bureau of Statistics will publish its data for January on Thursday at 00.30 GMT. Australia’s Trade Surplus is expected to widen to 3,900M MoM in January, compared to 3,373M in December.

Trade Balance gives an early indication of the net export performance. If a steady demand in exchange for Australian exports is seen, that would turn into a positive growth in the trade balance, and that should be positive for the AUD.

How could the Australian Trade Data affect AUD/USD?

AUD/USD trades on a positive note on the day in the lead up to the Australian Trade Data. The pair gains ground as the US dollar (USD) ignored the positive employment data and ISM Services PMI data.

If data comes in better than expected, it could lift the Australian Dollar (AUD), with the first upside barrier seen at the March 3 high of 0.7133. The next resistance level emerges at the February 12 of 0.7147, en route to the 0.7200 psychological level.

To the downside, the March 2 low of 0.7033 will offer some comfort to buyers. Extended losses could see a drop to the February 9 low of 0.7007. The next contention level is located at the February 5 low of 0.6940.