AUD/USD Weekly Price Forecast – Australian dollar continues to quietly gainThe Aussie dollar continues to gain over the longer-term, but in more of a quiet and grinding attitude than anything else. As that is the case, it makes sense that perhaps we will see more “buying on the dips” going forward.
The Australian dollar initially pulled back during the week, but then shot higher as the US dollar is finally giving up some of its gains. Beyond that, the market looks very likely to continue to see the possibility of hope as the US and China continued to discuss trade. If that situation ever get sorted out, the Australian dollar will be one of the first places that traders go to express their happiness with that move. The Australian dollar of course is highly levered to the Chinese economy so that makes complete sense.
AUD/USD Video 15.04.19
To the downside, there is a massive support level near the 0.70 level so it’s not until we break down below there that I would even be remotely concerned about the Aussie, but that’s not to say that we will go straight up in the air. Quite frankly, I think we are going to continue to see a lot of grinding sideways, but this looks like a bottoming pattern if I have ever seen one. In fact, if we can break above the 0.75 level, then it becomes a complete trend change by all metrics that I use to measure.
Although I think the longer-term target is much higher, you are probably going to be better served looking for short-term pullbacks to enter the market and find tune your entry overall. A break above the 0.7250 level would be very strong, and could bring in fresh buying in order to push this market towards the previously mentioned 0.70 level.
Please let us know what you think in the comments below