AUD/USD Price Forecast – Australian Dollar Continues Sideways Grind

The Australian dollar initially dipped during the trading session on Friday but then found enough buying pressure to turn around and rally. Ultimately, this is a market that should continue to be very noisy, but ultimately, I think that there are buyers waiting to pick up value as it occurs. I believe that the 0.71 level offer support, and I think that it extends down to at least the 0.70 level. I do believe that it is only a matter of time before the buyers come back into the market to pick up “cheap Aussie dollars.”

AUD/USD Video 17.08.20

The 50 day EMA sits at the 0.70 level as well, so it makes quite a bit of sense that there would be buyers in that area to pick up the market. As we drift into the weekend, I believe that we may see some sideways grading to not only digest the massive gains previously, but the fact that we are sitting in the midst of vacation season and therefore it is likely that the market does very little as far as the volatility is. With this being the case, the market is likely to see a lot of choppy sideways action, but eventually we should see momentum come back.

Once we do, I am willing to buy the Aussie all the way down to the 0.68 level, or by a breakout to a fresh, new high that could send the Aussie all the way to the 0.75 handle, possibly even to the 0.80 level after that. With the Federal Reserve pumping the market full of greenbacks, we will more than likely continue to see this pair rally over the longer term.

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:

• Oil Loses Ground Ahead Of The Weekend

• AUD/USD Weekly Price Forecast – Australian Dollar Continues to Stall

• Natural Gas Price Prediction – Prices Surge and Continue to Trend Higher

• GBP/JPY Weekly Price Forecast – British Pound Slams into Big Figure

• USD/JPY Weekly Price Forecast – US Dollar Recovers Slightly Against Japanese Yen

• GBP/JPY Price Forecast – British Pound Continues to Struggle With Big Figure