AUDUSD Forecast – Australian Dollar Breaks Lower
AUDUSD Forecast Video for 27.03.23
Australian Dollar vs US Dollar Technical Analysis
The Australian dollar has fallen a bit during the trading session on Friday, which was not a huge surprise considering that we formed a couple of shooting stars during the previous 2 days. The 0.67 level is an area that a lot of people will be paying close attention to, as it has been important multiple times. Keep in mind that the Australian dollar is highly levered to risk, and there are a lot of concerns that you need to pay attention to around the world, and that does work against the value of a currency like this.
That being said, it has been rather resilient in the sense that we could have broken down multiple times in the past, so I think more choppy volatility is probably ahead for the market. The 0.67 level has previously been support just a couple of weeks ago, with resistance at the 0.68 level. In other words, there’s a huge block of noise that people will be paying attention to. This is even further confirmed by the 50-Day EMA sitting at the top of it and dropping lower, a technical signal that a lot of people will be using as a directional indicator.
If we do break down from here, the 0.6550 level is an area where we have seen a significant bounce from, so it should be a certain amount of support, but if we were to break down below there it could send this market much lower, perhaps down to the 0.65 level, maybe even down to the 0.63 level. That being said, when we look at this chart, it’s hard not to notice the fact that the market is trying to bounce a bit, and therefore by the end of the day we may have seen the market turn things completely around. If that is in fact going to be the case, then it’s possible that we could just simply enter a bit of consolidation, but either way, I am not bullish of the Australian dollar and will more likely than not stay that way for the time being, what could change my mind is if we take out the 0.68 level on a daily close.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
More From FXEMPIRE:
GBP/JPY Forecast – British Pound Plunges Against Japanese Yen
GBP to USD Forecast – British Pound Rallies Heading Towards FOMC
GBP to USD Forecast – British Pound Drops After Forming Shooting Star
GBP to USD Forecast – British Pound Gives Up Early Move Higher