Australian Dollar Slams Into a Major Resistance Area

Australian Dollar vs US Dollar Weekly Technical Analysis

The Australian dollar has had a strong week again, reaching the 0.75 area. This is an area that has been resistant multiple times, so the question now is whether or not we are going to be able to break above here with any type of confidence. It will be interesting to see whether or not this plays out because this area has been so important previously. Ultimately, this could be an area worth paying close attention to because it could give you an idea as to where we are going over the longer term. Ultimately, this is a market that has to make a serious decision at this point, but if we fail, it does not necessarily mean that we are going to meltdown.

We got here a little quickly for my taste, so a pullback could be an opportunity for buyers to pick up a bit of value at the 0.74 handle. If we break down below there, then I think the market reenters the overall consolidation between 0.75 on the top and 0.70 on the bottom. This of course is very possible because markets have a lot to digest at the moment when it comes to geopolitics, inflationary scares, and growth issues around the world. In this scenario, it will be interesting to see if the Aussie focuses more on the commodity markets or the risk appetite of traders.

At this point, we have a lot of questions asked, but if we can clear the 0.76 handle, it is very likely that the Aussie dollar has much further to go to the upside and becomes more “buy-and-hold.” Obviously, this remains to be seen.

AUD/USD Technical Analysis Video 28.03.22

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