AUD/USD Weekly Price Forecast – Aussie dollar forming support

The Australian dollar has found itself bouncing from the 0.7050 level. At this point, the market looks very likely to find buyers again, and continued to consolidate overall towards the 0.7250 level. Ultimately, this is a market that is highly sensitive to the US/China trade talks, which seem to be giving off signals that something good is happening.

AUD/USD Video 25.02.19

I like looking at this area just below as an area to start building up a larger core position and looking on the monthly charts it’s obvious that there is support all the way down to the 0.68 handle. The weekly hammer from about two months ago was the absolute bottom of this pair from what I see. Ultimately, this comes down to the trade talks between America and China, and if we get good news or better yet some type of an agreement, this market will shoot straight up in the air. On the other side, we have the Federal Reserve looking to be easy with monetary policy going forward, so that should put some downward pressure on the greenback. All things being equal, this market looks as if it has a much more likelihood of going higher than lower, so I like buying dips and have no interest in shorting. Looking at the monthly chart, we are sitting above a major support level that continues to be respected extending down to the 0.68 level and starting from just below where we are now.

Please let us know what you think in the comments below

This article was originally posted on FX Empire

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