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AUD/USD Forecast – Australian Dollar Continues to Flounder

By:
Christopher Lewis
Published: Jun 24, 2024, 12:17 GMT+00:00

The Aussie dollar has continued to bounce around during the trading session on Monday, as it looks like we just don’t have anywhere to be anytime soon.

In this article:

Australian Dollar vs US Dollar Technical Analysis

The Australian dollar has rallied fairly significantly during the early hours on Monday, but it does look like the 0.6650 level will continue to be a bit of a barrier as it were, and therefore I think it’s also a magnet. That being said, there is a range that we’ve been in between the 0.67 level above and the 0.66 level below. The 50-day EMA sits below and so does the 200-day EMA indicator.

Both of those could come into the picture to really look at this through the prism of a potential support region. That being said, we don’t seem to have enough momentum to continue going higher either. So really, I think at this point in time, it’s just going to be more of the same with the Australian dollar as we just bounce around looking for some type of reason to get long or short.

If we do break out of this range, the measured move is 100 pips in either direction, so it’ll be interesting to see how this plays out. Keep in mind that the Australian dollar is highly sensitive to commodities and Australia, so you have to pay attention to both of those, but the US dollar is considered to be a safety currency, and you have to think of it through that prism as well. All things being equal, this is a very noisy market, and I think that will continue to favor short-term traders more than anything else.

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

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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