AUD/USD Daily Forecast – Resistance At 0.7325 Stays Strong

AUD/USD Video 17.11.20.

Australian Dollar Pulls Back After The Recent Upside Move

AUD/USD has recently managed to get above 0.7300 but faced strong resistance near 0.7325 while the U.S. dollar remained under pressure against a broad basket of currencies.

The U.S. Dollar Index has recently made another attempt to settle below the nearest support level at 92.50 but failed to gain sufficient downside momentum and rebounded closer to 92.60. In case the U.S. Dollar Index manages to settle above 92.60, it will have a chance to gain some upside momentum and move towards the next resistance level at 92.80 which will be bearish for AUD/USD.

Today, the foreign exchange market is very calm compared to recent trading sessions, and there are no big moves in the major currency pairs.

No important economic reports were released this morning, and traders wait for the U.S. Retail Sales report which will be published later today. Retail Sales are projected to increase by 0.5% on a month-over-month basis in October after growing by 1.9% in September.

Technical Analysis

AUD/USD gained upside momentum after it managed to settle above the resistance at 0.7290 but did not manage to get above the next resistance level at 0.7325 and pulled back.

The nearest support level for AUD/USD is located at the previous resistance level at 0.7290. If AUD/USD manages to settle below this level, it will get to the test of the next support level at 0.7275.

A move below the support at 0.7275 will push AUD/USD towards the test of the next support at 0.7240. In case AUD/USD declines below this level, it will head towards the next support at the 20 EMA at 0.7225. AUD/USD has recently received strong support near this level, and it will likely need material downside catalysts to move below 0.7225.

On the upside, AUD/USD needs to get above the resistance at 0.7325 to continue its upside move. The next resistance level is located at 0.7340. A move above this level will open the way to the test of the resistance at 0.7360.

For a look at all of today’s economic events, check out our economic calendar.