Yahoo Finance AUD/USD Forecast – Aussie Continues to See Consolidation
Australian Dollar vs US Dollar Technical Analysis
Taking a look at the Australian dollar you can see that it has rallied ever so slightly during the trading session on Tuesday. At this point it looks like the 50-day EMA above is going to continue to offer resistance, but if we can break above the 200-day EMA above there, then offers resistance.
Keep in mind that the Aussie dollar is highly sensitive to China, highly sensitive to Asia in general, and of course, highly sensitive to risk appetite. When you look at the chart, there is an obvious consolidation area between 0.6450 and 0.6650 above. Ultimately, we are essentially in the middle of this chart, so there isn’t a whole lot to do, because, quite frankly, we are just banging around.
So, with that being the case, I think you remain so ambivalent and neutral. We don’t have much to move the markets this week as there are no major announcements, one or two things here and there but really I think this is going to end up being a somewhat sideways week So with that being the case, I think if you’re a short-term back-and-forth trader, then it’s possible that this might be a decent pair for you.
But in the meantime, it is a situation where the market just kind of hangs around these moving averages. If we do swing to the one side or the other of the larger consolidation area and show signs of weakness, then obviously I’d be interested in fading that move, which is probably the easiest trade if it does in fact, set up.
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This article was originally posted on FX Empire
