AUD/USD Price Forecast – Aussie Dollar Reaching Towards 200 Day EMA
The Australian dollar has shot straight up in the air to kick off a move over the last couple of weeks that has been rather impressive. At this point, we find ourselves challenging the 200 day EMA, which of course is an indicator that a lot of people will be paying attention to. If we can break above that, then by some of the most basic definition, we are in an uptrend. That being said, the market is likely to go looking towards the 0.75 level if we can get above there, so that would be an initial target. After that, then we will have completed a huge “W pattern” that could send this market much higher.
AUD/USD Video 15.10.21
Ultimately, we could see the market pull back towards the 50 day EMA, which sits just above the 0.73 level. The market is likely to continue to see plenty of support underneath, but if we break down below the 50 day EMA, then it is likely that we could go towards the 0.7150 level again.
That being said, this is a market that I think will see a lot of volatility and now we are trying to figure out whether or not we are going to break above the resistance and complete the “W pattern”, or if we are simply at the top end of the range? It is going to take a certain amount of clarity to get me to put a lot of money to work, because quite frankly even though we have seen a nice move higher, we have not necessarily settled anything quite yet.
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This article was originally posted on FX Empire
