Australian Dollar Continues to Consolidate

Australian Dollar vs US Dollar Technical Analysis

The Australian dollar has rallied a bit during the trading session on Friday to show signs of continuation as the market has continued to hang about the 0.75 level overall. This is an area that has been important more than once, and as a result, it is likely that we will continue to see a lot of back-and-forth trading in this general vicinity.

The market has just completed the “golden cross”, which is when the 50 Day EMA crosses above the 200 Day EMA. While this is considered to be a very bullish sign, the reality is that it is typically a very late sign as well. However, keep in mind that longer-term traders may pay a certain amount of attention to it. That being said, if we do break down, I anticipate the general vicinity will more than likely be quite a bit of support.

On the upside, if we can clear the 0.76 handle, it is very likely that we would see an attempt to break for a much longer-term bullish run. At that point, I would anticipate that the Australian dollar goes looking towards the 0.78 level above, an area that previously has been important. With that in mind, it would be more or less a “buy-and-hold” type of situation. Ultimately, the market will continue to be very noisy, but I do believe that we will make a bigger decision rather soon. Once we do, is very likely that this market will continue to see quite a bit of choppy volatility. Ultimately, this is a market that looks bullish, but we need a little bit of effort.

AUD/USD Price Forecast Video 04.04.22

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