Yahoo Finance AUD/USD Price Forecast – Australian Dollar Takes a Break
The Australian dollar has gone back and forth during the trading session so far on Monday, as it looks like the market is taken a bit of a breather after the massive move on Friday. Quite frankly, the US dollar is probably in a significant amount of trouble, and it looks like the longer-term trend change is in fact in the midst of happening. With that being the case, it is difficult to imagine a scenario where this market pulls back for any significant amount of time, so look at pullbacks as a potential buying opportunity as the US dollar is certainly going to be sold going forward.
AUD/USD Video 01.09.20
To the downside, I believe that the 0.71 level will continue to offer a significant amount of support, and therefore I believe that we are looking at a great buying opportunity if we can get anywhere near there. That support extends down to at least the 0.70 level, and furthermore down to the 0.68 handle. In other words, I really like the idea of buying short-term pullbacks, and I suspect that most of the market does as well.
Keep in mind that the Aussie also moves right along with gold at times, so that can make a huge difference as well, giving you an opportunity to take advantage of that strong market simultaneously. Currently, my target for the Australian dollar is the 0.75 handle, but quite frankly I think we go much higher than that over the longer term, as I anticipate 0.80 by spring of next year.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
