AUD/USD Price Forecast – Australian dollar stabilizing

The Australian dollar has stabilized a bit during the trading session on Friday as we continue to hover above the 0.7050 level, an area that I have marked on my chart by the blue line. This is an area that extends all the way down to the 0.68 handle, an area that has been important on monthly charts. That doesn’t happen every day, so of course this is an area that catches my attention. The Australian dollar of course is a proxy for China, so keep that in mind.

AUD/USD Video 04.03.19

One thing that could help the Aussie dollar is if the Gold markets catch another bed, which have been very strong as of late. Remember, the Federal Reserve on the other side of this equation has suddenly softened a bit as well, so it’s very likely that the US dollar has a somewhat limited upside, even against the Aussie.

At this point, I like buying dips as they occur, but I also recognize is going to take something rather special to send this market to the upside. With that in mind, I’m very quick to take profits, and I recognize that the 200 day moving average near the 0.7250 level will continue to be a difficult barrier to overcome. I believe that if we could break above that level, the market could really start to take off and reach towards the 0.75 level which is a major level on longer-term charts. Overall, I look at this as an opportunity to pick up value occasionally.

Please let us know what you think in the comments below