Australian Dollar vs US Dollar Technical Analysis
The Australian dollar has drifted a little bit lower during the trading session on Friday and now we are hanging around the 0.67 level. The 0.67 level, of course, is an area that previously had been resistance and now market memory dictates that we could see a little bit of support. The 50 day EMA is sitting just below, and it is rallying. So, I think there’s an area where we might see buyers come in and try to pick up a little bit of cheap Aussie dollars.
The 0.6650 level underneath continues to offer plenty of support, but I think given enough time, we will probably try to see the market turn things around. If we were to break down below the 0.6650 level, then it’s likely that the Aussie dollar could go looking to the 200-day EMA. If we can break to the upside and clear the most recent swing high, then we could go looking to the 0.6850 level.
In general, this is a market that I think continues to be noisy, but that’s nothing new. All you have to do is look at the last several months and see just how choppy this pair typically is. The Australian dollar, of course, is highly influenced by commodities and Asia, so keep that in mind as well. But as things stand right now, I think we’ve got a market that may have a little bit of interest underneath. We’ll just have to see how Friday ends up.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
