AUD/USD Weekly Price Forecast – The Australian Dollar Breaks Through Support

Australian Dollar vs US Dollar Weekly Technical Analysis

The Australian dollar has initially tried to rally during the trading week but gave back gains to show signs of weakness. By doing so, it looks as if the market is going to continue to go lower, perhaps reaching down to the 0.65 level. The size of the candlestick is certainly something worth paying attention to, and a lot of people are going to be paying close attention to the pair because it is highly correlated to risk appetite and of course commodity markets. Furthermore, the Aussie dollar is highly levered to the Asian economy, so nothing here looks good.

The fact that we broke through that hammer from a couple of months ago also suggests that we are going to go much lower. The US dollar continues to strengthen overall, that’s going to continue to put pressure on this market as well. That doesn’t necessarily mean that we need to absolutely collapse, but I do think that we have much further to go to the downside. Rallies at this point continue to offer cheap US dollars, something that you should be looking for.

In order to start buying this pair, the Federal Reserve would have to change its monetary policy. That’s not going to happen, so at this point, it’s only a matter of time before we get lower. The size of the candlestick certainly says a lot as well, and I do think that there will be plenty of downward momentum. We are getting to the point where fear is starting to grip the market, and that can make things break rather quickly.

AUD/USD Price Forecast Video 19.09.22

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