AUD/USD Price Forecast – Australian Dollar Continue to Pressure Upside

The Australian dollar has initially pulled back during the trading session on Tuesday, reaching towards the 0.65 handle. However, we have seen a lot of support at that area and then turned around to rally to the upside. The 0.66 level is a target that short-term traders will be looking to, but if we can break above there it’s very likely that the markets will go looking towards the 0.67 level. I anticipate that there is quite a bit of resistance in that area, so I would be all over any signs of weakness near that region to start shorting again.

AUD/USD Video 04.03.20

To the downside, the market is very likely to find the 0.65 level as supportive, but more than likely we will go lower than that if we retest that area. The market is currently trading in the same range it had been trading in during the financial crisis, so there should be a ton of support from a longer-term standpoint in this area. However, the Australian dollar continues to suffer at the hands of the Chinese economic situation which of course has been very soft to say the least. However, the Federal Reserve is likely to cut rates and I think that’s part of what people were paying attention to. It does look as if the Aussie is trying to form a bottom, but that is something that can be said at several different junctures. I will be looking at the weekly candlestick before I trying to buy this pair. In the short term, I still look at the 0.67 level as a potential selling range.