AUD/USD Price Forecast – Australian dollar soft again

The Australian dollar has drifted a bit sideways during the trading session on Wednesday with a slightly downward tilt, as we continue to see people concern themselves with the Brexit, and of course the Turkish lira crisis. That being the case, there are a lot of concerns when it comes to risk appetite overall, which directly influences the Australian dollar. Beyond that, there are trade war concerns between the United States and China, and that most directly affects the Australian dollar. That doesn’t seem to be getting better, and there are a lot of concerns with the Chinese yuan, which the Australian dollar is used as a bit of a proxy for. Ultimately, I believe that this market will continue to go slightly lower as long as there is an issue with the Chinese economy, and of course threats from the United States. Overall, I think that breaking below the 0.73 level was very drastic, and almost certainly opens up the door to the 0.70 level below, a major level obviously.

If we were to turn on a break above the 0.73 level, then I think we could go to the 0.75 level, and it’s not until we break above there on a daily close that I’m willing to start buying. Otherwise, I suspect that we are looking at a scenario where the 0.70 level needs to be tested, because it’s just simply far too big of an area to ignore.

AUD/USD Video 16.08.18