AUD/USD Price Forecast – The Australian Dollar Continues to Bounce Around

Australian Dollar vs US Dollar Technical Analysis

The Australian dollar has fallen a bit during the trading session on Thursday as we continue to see a lot of noisy behavior. The 50 Day EMA underneath is offering a bit of support, while the 200 Day EMA offers resistance above. With this, I think the market continues to be very noisy and is trying to figure out what to do next.

Keep in mind that the Australian dollar is highly correlated to commodities, which has helped the currency strengthen a bit. However, it’s also worth noting that the US dollar is considered to be one of the strongest currencies at the moment, and this will be especially true as there are a lot of concerns when it comes to the global economy.

If we break down below the 0.7150 level, then the market is likely to go much lower, perhaps reaching down to the 0.70 level. The 0.70 level is a large, round, psychologically significant figure, and should cause a little bit of a reaction. Ultimately, this is a market that has been very noisy, and this bounce has been quite impressive. However, the market has also seen a lot of volatility in general, so it is possible that we see the market fall.

However, the possibility of a move to the upside is also there as well, so if we get a daily close above the 200 Day EMA, then it’s likely that the Aussie could go looking to reach the 0.7450 level or we had melted down from previously. The only thing I think you can count on here is a lot of choppy and sideways behavior. Because of this, position sizing and risk management will be crucial.

AUD/USD Price Forecast Video 09.06.22

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