AUD/USD Price Forecast – Aussie Dollar Sitting Under Major Resistance

The Australian dollar has gone back and forth during the trading session on Tuesday as we await a decision as to whether or not we can break out above the massive resistance seen near the 0.750 level. We are getting very close to breaking out of a resistance barrier on the weekly timeframe, so therefore if we do that could send this market much higher for the longer term. Looking at this chart, you can see that we have been relatively quiet for the last several days but at the end of the day we are most certainly in an uptrend.

AUD/USD Video 09.12.20

The question now is whether or not there is enough of a “risk on” attitude to traders around the world to send the Aussie higher. We are most certainly in a very crucial juncture on the weekly chart, and it is worth noting that the Euro has already broken out against the US dollar against what I would consider to be its equivalent resistance barrier. With that being the case, I believe that more likely than not we should break out to the upside. However, I am also the first person to notice that this has not exactly taken off, and that does make me a bit concerned.

As things stand right now, I believe that the area between the 0.7250 level and the 0.7350 level should continue to offer plenty of support, and therefore I do like the idea of buying pullbacks into that area. Simply put, nothing has really changed but I am a bit perplexed by the fact that we have not been able to make more headway than we have.

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