logo |

News

    Home   >     Industry    >     Main body

    Australian Dollar Forecast: Aussie Support Grind- AUD/USD Breakout Pending

    Abstract:Australian Dollar Forecast: Aussie Support Grind- AUD/USD Breakout Pending
    •   Australian Dollar technical trade level update - Weekly Chart

    •   AUD/USD sell-off plunges into multi-month uptrend support / 2021 range low

    •   Aussie key support into 7563– key resistance steady at 7836

      The Australian Dollar plummeted nearly 6% against the US Dollar off the February highs with the decline now testing multi-month channel support. While the broader outlook remains constructive, the rally remains vulnerable here as the April range sets up just above the yearly lows. These are the updated targets and invalidation levels that matter on the AUD/USD weekly price chart heading into the close of the year. Review my latest Weekly Strategy Webinar for the an in-depth breakdown of this Aussie technical setup and more.

      AUSTRALIAN DOLLAR PRICE CHART – AUD/USD WEEKLY

    Australian

      Notes: In last months Australian Dollar Weekly Price Outlook we noted that a pivot back below the objective yearly open, “now risks a deeper March correction with the AUD/USD price reversal approaching multi-month uptrend support. From a trading standpoint, look to reduce short exposure / lower protective stops on a stretch towards 7563 / channel support- keep an eye for a larger reaction there IF reached.” Aussie plunged into this threshold into the April open with price briefly registering an intraday low at 7531 before rebounding- the focus now falls onto the monthly opening-range which is being carved out just above multi-month uptrend support / the yearly range lows.

      Weekly resistance now stands back at 7701 with bearish invalidation at the 2018 yearly open / 88.6% Fibonacci retracement at 7801/36. Weekly support steady at 7563- a break / close below would be needed to suggest a larger Aussie correction is underway with such a scenario exposing the May 2017 low-week close / 23.6% retracement at 7385-7417.

      Bottom line: The Australian Dollar has carved a well-defined monthly range just above trendlinesupport and the immediate focus is on a breakout of the April range for guidance. From a trading standpoint, look for topside exhaustion ahead of the 77-handle IF price is indeed heading lower with a close below 7563 needed to fuel the next leg lower in Aussie. Ultimately, a breach above 7836 would be needed to mark resumption of the broader uptrend / re-assert the long-bias. Ill publish an updated Australian Dollar Price Outlook once we get further clarity on the near-term AUD/USD technical trade levels.

      AUSTRALIAN DOLLAR TRADER SENTIMENT – AUD/USD PRICE CHART

    image.png
    •   A summary of IG Client Sentiment shows traders are net-short AUD/USD - the ratio stands at +1.01 (50.17% of traders are long) – neutralreading

    •   Long positions are 6.62% higher than yesterday and 0.25% lower from last week

    •   Short positions are13.64% higher than yesterday and 9.69% higher from last week

    •   We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests AUD/USD prices may continue to fall. Yet traders are less net-long than yesterday and compared with last week. Recent changes in sentiment warn that the current AUD/USD price trend may soon reverse higher despite the fact traders remain net-long.

    image.png

      KEY AUSTRALIA / US DATA RELEASES

    image.png

        =================

        WikiFX, a global leading broker inquiry platform!

        Use WikiFX to get free trading strategies, scam alerts, and experts experience!

        ╔═══════════════════════╗

        Android : cutt.ly/Bkn0jKJ

        iOS : cutt.ly/ekn0yOC

        ╚═══════════════════════╝

      choose

    Latest News

    South African Rand

    • United Arab Emirates Dirham
    • Australia Dollar
    • Canadian Dollar
    • Swiss Franc
    • Chinese Yuan
    • Danish Krone
    • Euro
    • British Pound
    • Hong Kong Dollar
    • Hungarian Forint
    • Japanese Yen
    • South Korean Won
    • Mexican Peso
    • Malaysian Ringgit
    • Norwegian Krone
    • New Zealand Dollar
    • Polish Zloty
    • Russian Ruble
    • Saudi Arabian Riyal
    • Swedish Krona
    • Singapore Dollar
    • Thai Baht
    • Turkish Lira
    • United States Dollar
    • South African Rand

    United States Dollar

    • United Arab Emirates Dirham
    • Australia Dollar
    • Canadian Dollar
    • Swiss Franc
    • Chinese Yuan
    • Danish Krone
    • Euro
    • British Pound
    • Hong Kong Dollar
    • Hungarian Forint
    • Japanese Yen
    • South Korean Won
    • Mexican Peso
    • Malaysian Ringgit
    • Norwegian Krone
    • New Zealand Dollar
    • Polish Zloty
    • Russian Ruble
    • Saudi Arabian Riyal
    • Swedish Krona
    • Singapore Dollar
    • Thai Baht
    • Turkish Lira
    • United States Dollar
    • South African Rand
    Current Rate  :
    --
    Amount
    South African Rand
    Available
    -- United States Dollar
    Risk Warning

    The Database of WikiFX comes from the official regulatory authorities , such as the FCA, ASIC, etc. The published content is also based on fairness, objectivity and fact. WikiFX doesn't ask for PR fees, advertising fees, ranking fees, data cleaning fees and other illogical fees. WikiFX will do its utmost to maintain the consistency and synchronization of database with authoritative data sources such as regulatory authorities, but does not guarantee the data to be up to date consistently.

    Given the complexity of forex industry, some brokers are issued legal licenses by cheating regulation institutes. If the data published by WikiFX are not in accordance with the fact, please click 'Complaints 'and 'Correction' to inform us. We will check immediately and release the results.

    Foreign exchange, precious metals and over-the-counter (OTC) contracts are leveraged products, which have high risks and may lead to losses of your investment principal. Please invest rationally.

    Special Note, the content of the Wikifx site is for information purposes only and should not be construed as investment advice. The Forex broker is chosen by the client. The client understands and takes into account all risks arising with Forex trading is not relevant with WikiFX, the client should bear full responsibility for their consequences.