AUD/USD Forecast – Aussie Dollar Continues to Levitate
Australian Dollar vs US Dollar Technical Analysis
The Australian dollar has rallied a little bit during the early hours on Tuesday as we continue to look at the 0.68 level. The Australian dollar, of course, is highly sensitive to the Asian economy and of course, global economic movement. And at this point in time, we’ll have to see what people believe will happen with central banks and whether or not they can really stimulate the global demand for commodities, for example, and that’s exactly where the Aussie dollar comes into play.
Traders believe that the Australian Central Bank won’t be cutting rates at least quickly. So that’s part of what’s made this elevate a bit, but ultimately, we are at the top of a larger consolidation area between the 0.6850 level. And underneath we have a massive amount of support near the 0.6450 level. In general, I think you’ve got a situation where you continue to look for whether or not we can break above the 0.685 level, or if we see some type of impulsive drop, both of those would be a signal to move in the perspective directions.
That being said though, the market is likely to continue to see a lot of indecision. In this environment, it is likely that we will continue to see a lot of choppiness, as the markets have a lot of indecision to digest. This is a market that I continue to watch, but currently do not have a position on at this point in time. The market will continue to see a lot of back and forth.
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This article was originally posted on FX Empire