AUD/USD Price Forecast – Australian Dollar Slaves Into Resistance After CPI

Australian Dollar vs US Dollar Technical Analysis

The Australian dollar has initially fallen during the trading session on Thursday, but then shot higher as the CPI numbers in America came out just a bit softer than anticipated. That being said, the market is likely to continue to see a lot of volatility, and if we do break on from here, we have a clear ceiling above that could come into the picture. That ceiling of course is the 0.67 level, where we had seen a lot of support previously. That being said, the market continues to see a lot of noisy behavior, so I don’t necessarily know whether or not the market has the ability to continue going higher.

Keep in mind that the CPI number is of course going to have a major influence on the psychology of the market, but at the end of the day it should be noted that the Federal Reserve has multiple speakers over the next 48 hours it will be stepping out into the public, so it’s very possible that this could be smacked right back down. Regardless, I have no interest in trying to buy the Australian dollar at the moment, because quite frankly if the trend does change, we should have plenty of time and space to take advantage of it.

If we break above the 200-Day EMA, then it’s likely that we get the bigger move that could be held onto. It’s difficult to imagine a scenario where that happens, because quite frankly even if the Federal Reserve does only raised by 50 basis points instead of 75, it would still be very tight monetary policy, and most certainly harm growth. Because of this, Australia will have trouble sending its exports around the world.

AUD/USD Price Forecast Video for 11.11.22

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