AUD/USD Weekly Price Forecast – Aussie Gives Up Gains for The Week

Australian Dollar vs US Dollar Weekly Technical Analysis

The Aussie dollar initially tried to rally during the week but finds itself mid-Friday, flat on its back, and at the bottom of a range that we have been in. At this point, if we were to break down below the 0.6550 level, then we could see the market drop another 100 points. On the other hand, if we stay in this general vicinity or even bounce just a little bit, then we’re essentially stuck in the same range we have been in for about a month now. This is a market that, of course, is going to continue to see a lot of hesitation and noise due to the fact that there are a lot of questions out there when it comes to central banks.

That helps the US dollar in the sense that tight monetary policy may be a feature of the United States, but at the same time we have commodities around the world taking off, although not on Friday and that helps the Australian dollar. So I think you continue to see a lot of noisy behavior. When you look at the weekly chart, you can make out a bit of a triangle in that triangle has been tested and we have pulled back from it.

So with that being said, I think we’re probably just going to see more choppy and noisy behavior. Ultimately, this is a market that I think will be very difficult to get our hands around, but if we can break above the highs of the last month or so that could send this market looking towards the 0.69 level, that being said, we’ll have to wait and see, but we’re definitely at an inflection point.

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