AUD/USD Weekly Price Forecast – Aussie Dollar Continues to Reach Toward Highs of Range

Australian Dollar vs US Dollar Weekly Technical Analysis

The Aussie dollar has rallied pretty significantly to the upside during the course of the trading week, but it looks at this point in time as if the 0.68 level is offering a bit of pressure. That being said, I also recognize that we had been in a consolidation phase for some time now, and it would not surprise me at all to see this market continue to see a lot of questions asked of risk appetite.

With the Jackson Hole Symposium going on as I record this, there’s probably a certain amount of interest in the Federal Reserve and what they are going to be doing as the market will almost certainly pay close attention to monetary policy coming out of the United States. If it looks like the Federal Reserve is going to weaken, we have to reach the 0.6850 level, because above there could really send this market much higher.

However, the default scenario here is to simply pull back and stay within this consolidation zone, down to the 0.6450 level, and keep in mind, the Australian dollar is an Asian sensitive currency. And of course, the fact that commodities certainly have a major influence on this market as well. We really haven’t gone anywhere for about a year and a half or so when you look at it on the weekly chart. And we really haven’t changed much so far, as the market has been simply sideways overall.

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