AUD/USD Daily Forecast – Test Of Resistance At 0.7635

AUD/USD Video 29.03.21.

Australian Dollar Tries To Gain Ground Against U.S. Dollar

AUD/USD continues its attempts to settle above the resistance at 0.7635 while the U.S. dollar is gaining ground against a broad basket of currencies.

The U.S. Dollar Index is currently moving towards the resistance at the 93 level. If the U.S. Dollar Index manages to settle above this level, it will head towards the next resistance at 93.20 which will be bearish for AUD/USD.

Today, foreign exchange market traders will focus on dynamics of commodity markets and general risk sentiment as no important economic reports will be released in the U.S. and Australia.

WTI oil made an attempt to settle below the $60 level after reports indicated that the container ship Ever Given, which had blocked the Suez Canal, was afloat. If market attention shifts from Suez Canal to problems with coronavirus in Europe, India and Brazil, oil may find itself under more pressure which will be bearish for commodity-related currencies including Australian dollar.

Technical Analysis

AUD/USD is currently trying to settle above the resistance at 0.7635. This ressitance level has already been tested during the previous trading session and proved its strength.

In case AUD/USD manages to settle above 0.7635, it will head towards the next resistance at 0.7665. A successful test of the resistance at 0.7665 will open the way to the test of the next resistance level which is located at the 20 EMA at 0.7695.

In case AUD/USD gets above the 20 EMA, it will continue its upside move and head towards the resistance at the 50 EMA near 0.7710.

On the support side, AUD/USD needs to settle below 0.7635 to have a chance to gain downside momentum in the near term. The next support level for AUD/USD is located at 0.7600.

If AUD/USD declines below the support at 0.7600, it will move towards the support at 0.7575. A move below the support at 0.7575 will open the way to the test of the support at 0.7535.

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