AUDUSD Forecast – Australian Dollar Continues to Drop

AUDUSD Forecast Video for 20.02.23

Australian Dollar vs US Dollar Technical Analysis

The Australian dollar fell again during the trading session on Friday, to reach towards the 0.68 level. That being said, market is likely to continue to see a little bit of noise in this area, which should not be a huge surprise considering that it had been important in the past. Furthermore, you also have to keep in mind that the Australian dollar is highly sensitive to the risk appetite of traders around the world, as we have seen quite a bit of danger. Alternatively, when you look at this chart, you can see that the market is now below the 200-Day EMA.

By breaking down below the 200-Day EMA, then it’s likely that we go down to the 0.67 level. The 0.67 level is an area that seen a lot of noise in the past, so I do think that the market will respect that area. Nonetheless, it looks like we are breaking down overall, so I think it does make a certain amount of sense that we target the area.

With that being the case, I think we’ve got a situation where we are rolling over. We had recently pulled back from the 50% Fibonacci retracement level, which of course will attract a lot of attention in general. With that being said, I think you get a situation where the market will continue to see a lot of volatility, but as long as we are concerned about the global economy, I think the Australian dollar will continue to see a lot of negativity. The 0.70 level above could be the short-term ceiling at this point.

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