AUD/CAD Momentum Turning Bullish After Job Postings Continued to Grow in Australia

Australia – ANZ Job Advertisements

On Monday, at GMT 12:30 a.m., Australia and New Zealand Banking Group (ANZ) released its monthly Job Advertisement figure. It measures the changes in the number of advertised jobs. These jobs appear in key Australian cities on the major daily newspapers and web portals.

Job advertisements usually lead to the hiring of new employees.  Binary options traders consider this data from ANZ to be a leading indicator of the employment trend in the country. The ANZ Job Advertisement figure usually has a greater impact on the Australian Dollar. Especially, when comes before the Australian government’s official employment data.

Last month, the ANZ Job Advertisement figure increased by 8.6%. This month it increased by only 2.3%.

Canada – Manufacturing PMI

Later, at GMT 2:30 p.m., the Markit will release Canada’s manufacturing purchasing managers’ index (PMI) figure. It measures the level of a diffusion index by surveying around 400 purchasing managers in the country. 

Businesses are the first to react to changing economic climate. The manufacturing PMI is calculated based on survey questions covering employment and production. Also, the price levels and new orders situation is covered. It is based on inventory conditions. Binary options investors consider this data to be a leading indicator of the overall economic health of the country.

Last month, Canada’s manufacturing PMI reading came out at 57.9. If it remains above the 50 levels, it will likely strengthen the value of the Canadian Dollar against other currencies.

AUD/CAD Forecast

AUDCAD February 1 2021

The AUD/CAD remained bearish over the last two days and fell by around 110 pips. During this short downturn, the AUD/CAD formed a bearish trend line. Currently, it is testing this trend line and just trading below the resistance near the 0.9775 level.

The Australian ANZ Job Advertisements figure came out positive at 2.3%, which likely encouraged the bulls. On the other hand, if the Manufacturing PMI in Canada fails to come above the previous high of 57.9, it would put more bearish pressure on the currency. As a result, we believe it would set a bullish fundamental outlook for the AUD/CAD this week. Therefore, if the AUD/CAD closes above the resistance near 0.9775, it would likely attract additional bullish momentum in the market.

Hence, Australian binary options traders should look out for trading opportunities above this major resistance level around 0.9775.

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