Aussie Dollar Continues to Struggle

Australian Dollar vs US Dollar Technical Analysis

The Australian dollar initially tried to rally during the trading session on Tuesday but gave back gains as it looks like we are going to continue to see more of a “risk-off” attitude around the world. Ultimately, if that is going to be the case then it makes quite a bit of sense that the US dollar continues to attract attention. Furthermore, if we continue to see commodity struggle, that will be a bit of a “double whammy” against the Aussie. In that scenario, it is very difficult to imagine that the markets will do well.

If we turn around a break above the 0.73 level, then it would be a bullish sign, perhaps allowing the Australian dollar to recover. At this point though, it certainly looks as if we are going to see further negativity, perhaps an attempt to get down to the 0.70 level. The 0.70 level is an area that will more likely than not going to offer psychological support. If we were to break down below there, then I suspect we will probably see plenty of negativity around the world, because it would show a huge run into the greenback, which is almost always a negative situation when it comes to risk assets.

Recently, we have been bouncing around between the 0.70 level on the bottom, and the 0.75 level on the top. I think we stay in this range unless, of course, we see some type of major shift in the overall global attitude. We clearly have a lot of concerns out there when it comes to global growth and inflation, so that could come into the picture as well.

AUD/USD Price Forecast Video 27.04.22

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