AUD/USD Price Forecast – Australian dollar choppy on Wednesday

The Australian dollar continues to grind around the 0.7350 level, an area that has mattered more than once. Ultimately, this is a market that I think continues to show signs of life, but at current levels we are facing an area that had previously been rather resistive. Overall, I believe that we are going to continue to see a lot of choppiness here, and keep in mind that the Australian dollar is very sensitive to dealings between the United States and China. As the US and China are in the middle of meetings on Wednesday, this could end up being a very volatile currency pair, but these are low-level meeting so it’s very unlikely that something major happens. With that in mind, I think that we are probably going to see this market selloff if some type of bad news comes out of the situation.

I believe that there is probably more risk to the downside that up, but then again, we are starting to see the US dollar lose some of its luster against other currencies. It is because of this that I believe a move above the 0.7425 level sends this market to the 0.75 level above, an area that has been very important on the longer-term charts. I believe at this point it’s probably going to remain a very volatile market, but at the end of the day I think range bound traders will find the Australian dollar to their liking.

AUD/USD Video 23.08.18