AUD/USD Price Forecast – Australian Dollar Rallies After Surprise Employment FigureThe Australian dollar rallied quite significantly during the trading session on Thursday, reaching towards the 200 day EMA as the jobs numbers came out much stronger than anticipated.
The Australian dollar has rallied significantly during the trading session on Thursday, reaching towards the 200 day EMA. Having said that, the market has pulled back towards the 50 day EMA and quite frankly I think that we have a lot of work to do. I still like the idea of buying pullbacks, and I think that we will in fact get that opportunity on short-term charts. I still believe that we are in the middle of a trend change, and that of course is very noisy.
AUD/USD Video 24.01.20
Ultimately, this is a market that I believe will go looking towards the 0.70 level given enough time, but I do believe that this is a market that will find plenty of reasons to go higher, not the least of which could be the US/China trade relations getting better, and with this being the case it’s likely that the Australian dollar will continue its path higher but again, it is an area that is going to be very difficult to deal with, and ultimately volatility will be one of the biggest issues when trading the Aussie. Keep your position size small, as you will more than likely get thrown around quite a bit in this market.
If we did break down below the 0.68 handle, that could change things drastically, but right now the resiliency of the Australian dollar is something to be paid attention to. As long as global growth continues, especially across the Pacific Ocean, it’s very likely that the Australian dollar will be one of the biggest beneficiaries of this bullish behavior.
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