AUD/USD Weekly Price Forecast – Australian Dollar Consolidates

AUD/USD Forecast Video for 03.07.23

Australian Dollar vs US Dollar Weekly Technical Analysis

The Australian dollar has gone back and forth during the course of the week, testing the 0.66 level for support. That being said, the market continues to see a lot of noise in this general vicinity, so I think you got a situation where you have to be careful getting overly aggressive. Ultimately, the market has previously been very well contained, and now it looks like it’s trying to return to that area of consolidation. If that does in fact end up being the case, then we will be stuck between 0.66 and 0.68.

The 50-Week EMA sits right around the 0.68 level and is dropping, and that of course can offer a little bit of support as well. If we break above there, then it’s likely that the market could go to the 0.70 level, which of course is a large, round, psychologically significant figure. If we were to break down below the 0.66 level, then it opens up a move down to the 0.65 level. All things being equal, this is a market that I think continues to be very noisy, mainly due to the fact that the Australian dollar is so highly sensitive to the global economy, and of course the commodity markets in general.

As long as that’s going to be the case, it’s probably going to remain very noisy due to the fact that we are not overly confident about where the global economy is going right now, and traders seem to be all over the place with the way they have been positioning. As long as that continues to be the case, this is a market that I think will continue to chop back and forth.

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