AUD/USD Price Forecast – Aussie dollar tests support again

The Australian dollar has pulled back during the trading session on Monday, testing the 0.70 level yet again. This is an area that has been important more than once, and therefore it’s easy to suggest that perhaps we can start taking small short-term positions. I don’t have any interest in shorting this market, because quite frankly there is support all the way down to at least the 0.68 handle based upon monthly charts. Because of this, I am very cautious about trying to short this market but I am more than willing to pick up little scalps in this area. I don’t expect a big move, a lease not until we get some type of resolution to the US/China trade relations, but that does not mean that you can’t pick up a few dollars here and there.

AUD/USD Video 05.03.19

The market continues to see a lot of resistance near the 0.72 level that extends to the 0.7250 level. That coincides with the 200 day EMA, so course that will cause a lot of resistance as it is a major technical figure. If we can break above those levels, then we could go all the way to the 0.75 level. Obviously, we need some type of catalyst for that to happen and quite frankly we just don’t have it right now. However, we will eventually get a resolution between the United States and China, and that will be enough to push the Aussie higher as it is so sensitive to the mainland economy.

Please let us know what you think in the comments below