AUD/USD Forecast – Australian Dollar Bounces Again

AUD/USD Forecast Video for 24.10.23

Australian Dollar vs US Dollar Technical Analysis

The Australian dollar has fallen significantly during the trading session on Monday, but it looks like we continue to see a lot of support near the 0.6275 level, as the market has bounced from there a couple of different times. All things being equal, this is a situation where it looks like we are trying to break down through there and it’s worth noting that each bounce only rises a little bit less than the one before, showing that there is sustainable downward pressure. If we break down below the lows, the market is likely to continue to break down rather impressively. At that point, I would anticipate that the market just looking to the 0.62 level.

If we do rally from here, the 0.6355 level is an area where I think we would see a certain amount of resistance. Above there, we could see the market look into the 0.64 level. The 0.64 level of course is a large, round, psychologically significant figure that a lot of people would be paying attention to, and then of course we have the 50-Day EMA racing toward the 0.64 level, and that will cause quite a bit of resistance to say the least. Ultimately, the Aussie dollar continues to be a “fade the rally” situation, with the global risk appetite out there falling, that probably continues to be the case.

The Aussie dollar breaking down from here does make a certain amount of sense, but it’s also worth noting that the Aussie has put up a bit of a fight. After all, the market has been dealing with a lot of geopolitical concerns, and of course concerns about whether or not the global economy is going to start falling apart. After all, you need to keep in mind that the Australian dollar needs growth to continue strengthening as it is so highly levered to the commodity markets, and of course global trade in the Asian region specifically. With that in mind, you have to be cautious about getting overly aggressive to one direction or the other as there are so many questions out there.

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