AUD/USD Price Forecast – Australian Dollar Attempting Stability

The Australian dollar has fallen a bit during the trading session on Friday but then turned around to show signs of life. This is a market that has sold off quite drastically, and now the question is whether or not we can continue the overall bullish channel? If we can break above the highs of both Thursday and Friday, then it is very possible that we could see a continuation higher. It is possible that we also break down to the bottom as well.

AUD/USD Video 22.11.21

It is through this prism that I am relatively neutral of the Australian dollar because we are suddenly getting a turnaround signal in what had been a relatively strong move lower. If we can break above the highs of the Thursday candlestick, then I will put on a small position to try to get to the 0.7375 handle. If we can break there, then I would add a little bit more.

If we break down below the 0.72 level, then I think this is a market that will fall apart, perhaps reaching down to the 0.70 level. It looks to me as if we are on the precipice of making a relatively important decision, which allows for an explosive move rather soon. At this point, I am simply going to let the market decide which way it wants to go, and follow, as that is the real way to make money. Trying to guess which way it breaks at this point is a very dangerous thing to do.

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