AUD/USD Price Forecast – Australian Dollar Gives Up Early Gains

The Australian dollar has initially tried to rally during the course of the trading session on Tuesday but has given back the gains as we got close to the 50 day EMA. Ultimately, this is a market that looks as if it is a market that is ready to continue going lower, especially as we have seen such a push from the highs of the previous session. Furthermore, you have to keep in mind that interest rates in America continue to pick up, so that more than likely will be a mover of the greenback in general.

AUD/USD Video 17.11.21

John that, we also have to worry about what is going on in China, and although the latest economic numbers have been little bit better, it is worth noting that they are still coming from a very low floor. Furthermore, this is a market that is starting to see the 50 day EMA offer significant resistance and curl lower. I think at this point, the market is probably going to go looking towards the 0.73 level in the short term, and then perhaps even the 0.72 level.

If we were to turn around a break above the 0.74 handle, then it is likely that we could go looking towards the 0.75 level, maybe go looking towards the 0.76 handle. That is going to take quite a bit more effort than simply falling, and therefore I think as long as the Reserve Bank of Australia remain somewhat dovish while the Federal Reserve continues to remain somewhat hawkish, that will continue to cause issues in this market.

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