AUD/USD Price Forecast – Australian Dollar Continues to Power Higher

The Australian dollar has been a bit stronger during the trading session on Friday as we go into the weekend on a positive note. The reality is that the jobs number in the United States coming out at -140,000 for the month of December does not affect risk appetite, because quite frankly most traders out there are banking on a lot of stimulus anyway. With that being the case, I like the idea of buying dips as they occur, but unfortunately, we did not get a very substantial dip after the number. Because of this, we may need to be patient and wait for a bit of value to return, but right now it does not look like we will get it in the short term.

AUD/USD Video 11.01.2021

Underneath, the 0.75 level is now what I would consider to be the “floor the market”, and therefore I believe that any time we get close to that level there will be buyers to jump in and take advantage of it. Ultimately, I do like the idea of the Australian dollar reaching towards the 0.80 level, but we may be a while from seeing that due to the fact that there are so many moving pieces out there. Ultimately, I like the idea of buying dips going forward on short-term charts and ignoring set ups that would suggest selling, at least until we break down below the 0.74 level, something that does not look very likely to happen anytime soon. The market is a little overextended, so hopefully we will get an opportunity rather soon.

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