AUD/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Pivot Point at $0.67 critical for bullish momentum.
- Immediate resistance at $0.6710; potential upward target.
- Immediate support at $0.6650; crucial for stabilizing decline.
The AUD/USD pair is trading at $0.66695, reflecting a modest increase of 0.10%. On the 4-hour chart, the pivot point is set at $0.67, a crucial level that could dictate the pair’s next move.
Immediate resistance levels are clustered closely at $0.6710, $0.6730, and $0.6750. These levels suggest potential upward targets if the price manages to break through the pivot point, indicating bullish momentum.
On the downside, immediate support is found at $0.6650, with further support at $0.6625 and $0.6600. These levels are critical for traders to monitor, as they indicate where the price might find stability if it begins to decline.
The Relative Strength Index (RSI) is currently at 60, suggesting a neutral market sentiment, slightly leaning towards the overbought territory. This could imply that the AUD/USD has some room to rise, but traders should be cautious of potential reversals.
The 50-day Exponential Moving Average (EMA) at $0.6700 serves as a significant resistance level. A break above this EMA would reinforce a bullish trend, supporting further gains. The overall technical outlook for AUD/USD remains cautiously optimistic above the pivot point of $0.67.
Given the current indicators, traders might consider an entry price for buying above $0.66585, aiming for a take profit at $0.66763, with a stop loss set at $0.66440. Maintaining a position above the pivot point could sustain the bullish bias, while a drop below this level may trigger a sharper selling trend.
AUD/USD - Trade Ideas
Entry Price – Buy Above 0.66585
Take Profit – 0.66763
Stop Loss – 0.66440
Risk to Reward – 1: 1.23
Profit & Loss Per Standard Lot = +$178/ -$145
Profit & Loss Per Mini Lot = +$17/ -$14
AUD/USD Price Analysis – June 25, 2024
Daily Price Outlook
During the European trading session, the AUD/USD currency pair failed to extend its upward rally and turned bearish, facing pressure around the 0.6643 level, with an intraday low matching that level. The downward trend was attributed to risk-off market sentiment, which undermined riskier assets like the Australian dollar, contributing to declines in the AUD/USD pair. Conversely, the bullish US dollar, supported by upbeat US economic data, also exerted pressure on the AUD/USD pair.
On the other hand, Australia's monthly CPI is estimated to have grown at a faster pace of 3.8% in May. This could support the AUD by limiting its losses, indicating stronger inflation that may help stabilize its value against other currencies.
Impact of Australian Inflation Expectations on the AUD/USD Pair
On the AUD front, the Australian Dollar is showing strength as investors await the upcoming monthly Consumer Price Index (CPI) data for May, due on Wednesday. Analysts predict Aussie inflation to rise to 3.8% from April's 3.6%. This anticipated increase suggests that the Reserve Bank of Australia (RBA) will likely keep interest rates unchanged for a longer period. Currently, financial markets are pricing in expectations that the RBA won't lower its Official Cash Rate throughout the year, buoying the outlook for the Australian Dollar amid these inflationary signals.
Therefore, the expected rise in Australian inflation could support the AUD against the USD, with markets anticipating the RBA to maintain interest rates, boosting the AUD/USD pair.
Impact of US Economic Factors on the AUD/USD Pair
On the US front, the broad-based US dollar regained strength following stronger-than-expected US PMI data and a surprisingly hawkish stance from the Federal Reserve. San Francisco Fed President Mary Daly emphasized the Fed's commitment to maintaining rates until inflation approaches 2%. However, she also highlighted the importance of supporting the labor market, suggesting potential rate cuts if unemployment rises. This dual approach to inflation and employment boosted market confidence in the dollar, which rebounded on positive economic indicators and the Fed's cautious yet vigilant stance on interest rates.
Investors are focused on upcoming speeches by Federal Reserve members Lisa Cook and Michelle Bowman for insights into future monetary policy. Key US economic releases this week, including the final Q1 GDP report on Thursday and the May PCE Price Index report on Friday, will impact market sentiment and financial markets.
The US dollar's strength, bolstered by upbeat economic data and a hawkish Fed stance, may pressure the AUD/USD pair if US indicators continue to exceed expectations, influencing market sentiment and potentially weakening the Australian dollar.
AUD/USD - Technical Analysis
The AUD/USD pair is trading at $0.66695, reflecting a modest increase of 0.10%. On the 4-hour chart, the pivot point is set at $0.67, a crucial level that could dictate the pair’s next move.
Immediate resistance levels are clustered closely at $0.6710, $0.6730, and $0.6750. These levels suggest potential upward targets if the price manages to break through the pivot point, indicating bullish momentum.
On the downside, immediate support is found at $0.6650, with further support at $0.6625 and $0.6600. These levels are critical for traders to monitor, as they indicate where the price might find stability if it begins to decline.
The Relative Strength Index (RSI) is currently at 60, suggesting a neutral market sentiment, slightly leaning towards the overbought territory. This could imply that the AUD/USD has some room to rise, but traders should be cautious of potential reversals.
The 50-day Exponential Moving Average (EMA) at $0.6700 serves as a significant resistance level. A break above this EMA would reinforce a bullish trend, supporting further gains. The overall technical outlook for AUD/USD remains cautiously optimistic above the pivot point of $0.67.
Given the current indicators, traders might consider an entry price for buying above $0.66585, aiming for a take profit at $0.66763, with a stop loss set at $0.66440. Maintaining a position above the pivot point could sustain the bullish bias, while a drop below this level may trigger a sharper selling trend.
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AUD/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- AUD/USD drops to $0.66716, down 0.08%, highlighting bearish sentiment.
- Pivot point at $0.6675; key resistance at $0.6690, $0.6704, $0.6719.
- RSI at 65; 50 EMA at $0.6630 provides strong support.
The AUD/USD pair is currently trading at $0.66716, showing a slight decline of 0.08%. The 4-hour chart highlights key technical levels that are crucial for traders. The pivot point at $0.6675 is a significant marker for determining the next direction of price movement. Immediate resistance is seen at $0.6690, with further resistance levels at $0.6704 and $0.6719. These resistance points are essential barriers that could cap any potential upward movement.
On the support side, immediate support is located at $0.6654, followed by stronger support levels at $0.6641 and $0.6630. These support levels are vital in preventing further declines in the AUD/USD pair.
Technical Indicators:
The bearish outlook is supported by the current price action, which is below the pivot point of $0.6675. Market sentiment remains cautious, influenced by global economic factors and domestic data releases that impact the Australian dollar.
Conclusion:
For traders looking to capitalize on the current bearish trend, an entry price below $0.66745 is recommended. The take profit level is set at $0.66484, with a stop loss at $0.66897 to manage potential risks.
AUD/USD - Trade Ideas
Entry Price – Sell Below 0.66745
Take Profit – 0.66484
Stop Loss – 0.66897
Risk to Reward – 1: 1.7
Profit & Loss Per Standard Lot = +$261/ -$152
Profit & Loss Per Mini Lot = +$26/ -$15
AUD/USD Price Analysis – June 20, 2024
Daily Price Outlook
During the European trading session, the AUD/USD currency pair maintained its upward rally and remained well bid around the 0.6541 level, hitting an intraday high of 0.6680. The upward trend can be attributed to the risk-on market sentiment, which supports riskier assets such as the Australian dollar. Meanwhile, the Reserve Bank of Australia (RBA) took a hawkish stance at its June meeting on Tuesday, which further bolstered the AUD/USD pair. Conversely, the US dollar weakened due to increased expectations of a Fed rate cut, which weighed on the Greenback and contributed to the gains in the AUD/USD pair.
Impact of RBA's Hawkish Stance on AUD/USD Outlook
On the AUD front, the Australian Dollar is gaining ground because the Reserve Bank of Australia (RBA) maintained a hawkish stance at its June meeting. Despite acknowledging economic uncertainties and challenges in achieving inflation targets, the RBA's decision to keep the cash rate unchanged at 4.35% hinted at a cautious optimism.
Governor Michele Bullock emphasized a readiness to take necessary actions to stabilize inflation. Traders are eyeing the upcoming Australian Judo Bank Manufacturing PMI for June, expected to improve to 50.6, which could influence future RBA decisions and potentially support the Australian dollar against the USD.
Therefore, the hawkish RBA stance and potential economic recovery indicated by the PMI could bolster the AUD/USD pair amid expectations of delayed rate cuts and improved sentiment towards the Australian dollar.
Impact of US Economic Indicators on AUD/USD Pair
On the US front, the broad-based US dollar lost some of its gains due to earlier expectations and speculation of Federal Reserve interest rate cuts. This shift was influenced by weaker Retail Sales data and concerns about economic slowdown, which have tempered market optimism. Meanwhile, the Fed's revised projection of only one rate cut this year, down from earlier expectations of three, could help the US dollar limit its losses. This adjustment has stabilized Treasury yields and restored some investor confidence, countering earlier concerns about economic slowdown and reducing downward pressure on the dollar.
Therefore, the US dollar's mild bearish bias, driven by reduced rate cut expectations and stabilized Treasury yields, ease downward pressure on the AUD/USD pair amid improved investor sentiment towards the dollar.
Looking ahead, investors will focus on several key economic indicators and events in the United States. These include the release of weekly Initial Jobless Claims, Building Permits, Housing Starts, the Philly Fed Manufacturing Index, and a speech by Fed official Neel Kashkari on Thursday. Additionally, on Friday, attention will turn to the preliminary US S&P Global PMI reports for June.
AUD/USD - Technical Analysis
The AUD/USD pair is currently trading at $0.66716, showing a slight decline of 0.08%. The 4-hour chart highlights key technical levels that are crucial for traders. The pivot point at $0.6675 is a significant marker for determining the next direction of price movement. Immediate resistance is seen at $0.6690, with further resistance levels at $0.6704 and $0.6719. These resistance points are essential barriers that could cap any potential upward movement.
On the support side, immediate support is located at $0.6654, followed by stronger support levels at $0.6641 and $0.6630. These support levels are vital in preventing further declines in the AUD/USD pair.
Technical Indicators:
The bearish outlook is supported by the current price action, which is below the pivot point of $0.6675. Market sentiment remains cautious, influenced by global economic factors and domestic data releases that impact the Australian dollar.
Conclusion:
For traders looking to capitalize on the current bearish trend, an entry price below $0.66745 is recommended. The take profit level is set at $0.66484, with a stop loss at $0.66897 to manage potential risks.
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AUD/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- AUD/USD is trading at $0.66704, up 0.23%, with a pivot point at $0.6697.
- Immediate resistance at $0.6705, $0.6729, and $0.6754; support at $0.6640, $0.6620, and $0.6586.
- RSI at 66 and 50-day EMA at $0.6623 indicate nearing overbought conditions and strong support.
The AUD/USD is currently trading at $0.66704, up 0.23%, as it navigates within a consolidation phase on the 4-hour chart. The pivot point is set at $0.6697, which is crucial for determining the next price movement.
Immediate resistance levels are identified at $0.6705, followed by $0.6729 and $0.6754. These resistance levels are key hurdles that need to be surpassed for a sustained bullish momentum.
On the downside, immediate support is seen at $0.6640, with further support at $0.6620 and $0.6586. These support levels are essential in preventing deeper declines and will be closely monitored by market participants.
The Relative Strength Index (RSI) is at 66, indicating that the pair is nearing overbought conditions, which could signal a potential reversal or consolidation in the near term. The 50-day Exponential Moving Average (EMA) is positioned at $0.6623, providing a significant support level and reinforcing the bullish outlook.
The overall outlook for AUD/USD remains cautiously bullish above the $0.6697 pivot point. A break above this level could trigger further buying interest, targeting the higher resistance levels mentioned.
Conversely, a drop below the immediate support at $0.6640 could lead to increased selling pressure and test lower support levels.
The recommended entry point is to buy above $0.66616, with a take profit target at $0.66965 and a stop loss at $0.66398.
AUD/USD - Trade Ideas
Entry Price – Buy Above 0.66616
Take Profit – 0.66965
Stop Loss – 0.66398
Risk to Reward – 1: 1.6
Profit & Loss Per Standard Lot = +$349/ -$218
Profit & Loss Per Mini Lot = +$34/ -$21
AUD/USD Price Analysis – June 19, 2024
Daily Price Outlook
During the European trading session, the AUD/USD currency pair maintained its upward trend and remained well bid around the $0.6672 level, hitting an intraday high of $0.6676. The robust performance was mainly driven by a combination of factors, including concerns over the US economic recovery exacerbated by weaker-than-expected economic data such as the latest US Retail Sales figures. This has prompted market participants to revise down their expectations for US Federal Reserve interest rate hikes, thereby weakening the USD.
At the same time, the Reserve Bank of Australia (RBA) has kept its Official Cash Rate (OCR) unchanged at 4.35% for the fifth straight meeting, maintaining a confident stance. This decision surprised some analysts who expected a more cautious approach due to global economic uncertainties. The RBA's focus on monitoring inflation closely and its decision not to lower rates soon have boosted investor confidence in the AUD, supporting its recent upward trend.
Impact of Hawkish Messages from the RBA on AUD/USD
On the AUD front, the Reserve Bank of Australia (RBA) maintained its Official Cash Rate (OCR) at 4.35% in its June meeting, extending the longest period without change since 2022. This decision has postponed expectations for rate cuts, bolstering the Australian dollar. The RBA highlighted economic uncertainty and challenges in achieving target inflation levels, signaling a cautious stance. It emphasized vigilance against potential inflationary pressures, indicating a prolonged wait for stable inflation.
Thus, the RBA's hawkish hold suggests a conservative approach amidst economic uncertainties, influencing market expectations towards a potential easing cycle starting in 2025.
Therefore, this sentiment has boosted demand for the Australian Dollar, pushing the AUD/USD pair higher as traders recalibrate their expectations for future interest rate differentials between Australia and the United States.
Weaker-than-Expected US Retail Sales Data and its Impact on AUD/USD
On the US front, the recent release of weaker-than-expected US Retail Sales data has added further support to the AUD/USD pair's upward momentum. The Commerce Department reported a modest 0.1% month-on-month increase in May, falling short of the anticipated 0.2% rise. This disappointing economic indicator has raised concerns about the strength of consumer spending, a crucial driver of US economic growth.
Market participants interpreted the poor Retail Sales figures as a potential signal for softer economic activity in the US, which could prompt the Federal Reserve to adopt a more accommodative stance in its monetary policy. However ,the comments from Federal Reserve officials, including hints at possible rate cuts later in the year, have further dampened the USD's appeal, contributing to its depreciation against the AUD.
AUD/USD - Technical Analysis
The AUD/USD is currently trading at $0.66704, up 0.23%, as it navigates within a consolidation phase on the 4-hour chart. The pivot point is set at $0.6697, which is crucial for determining the next price movement.
Immediate resistance levels are identified at $0.6705, followed by $0.6729 and $0.6754. These resistance levels are key hurdles that need to be surpassed for a sustained bullish momentum.
On the downside, immediate support is seen at $0.6640, with further support at $0.6620 and $0.6586. These support levels are essential in preventing deeper declines and will be closely monitored by market participants.
The Relative Strength Index (RSI) is at 66, indicating that the pair is nearing overbought conditions, which could signal a potential reversal or consolidation in the near term. The 50-day Exponential Moving Average (EMA) is positioned at $0.6623, providing a significant support level and reinforcing the bullish outlook.
The overall outlook for AUD/USD remains cautiously bullish above the $0.6697 pivot point. A break above this level could trigger further buying interest, targeting the higher resistance levels mentioned.
Conversely, a drop below the immediate support at $0.6640 could lead to increased selling pressure and test lower support levels.
The recommended entry point is to buy above $0.66616, with a take profit target at $0.66965 and a stop loss at $0.66398.
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AUD/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- AUD/USD trading at $0.66450, down 0.28%, approaching significant support levels.
- Immediate resistance at $0.67, with support at $0.66 indicating potential further downside.
- RSI at 53 and 50 EMA at $0.66 suggest a neutral to bearish outlook.
The AUD/USD pair is currently trading at $0.66450, reflecting a 0.28% decline. The market is exhibiting bearish tendencies as it approaches crucial support levels. The key pivot point to watch is $0.67, a critical level that could dictate the next directional move for the pair.
Immediate resistance is found at $0.67, with subsequent resistances also aligned at $0.67, indicating a significant barrier for bullish attempts. On the downside, immediate support is at $0.66, followed by additional supports at $0.66 and $0.65. These levels are essential for identifying potential buying interest that may stabilize the price.
The Relative Strength Index (RSI) is at 53, suggesting a neutral stance but leaning slightly towards bearish momentum. The 50-day Exponential Moving Average (EMA) is positioned at $0.66, which the current price hovers around, indicating a potential consolidation phase or a pivotal point for future direction.
The current technical indicators suggest a cautious approach. The bearish sentiment below the pivot point of $0.67 indicates potential further downside if the price breaches immediate support levels. Conversely, a break above the resistance could signal a shift towards a bullish trend.
In conclusion, the technical outlook for AUD/USD remains bearish below $0.67. Traders may consider a buy limit order at $0.66271, aiming for a take profit level at $0.66678. A stop loss should be placed at $0.66007 to manage risk effectively.
AUD/USD - Trade Ideas
Entry Price – Buy Limit 0.66271
Take Profit – 0.66678
Stop Loss – 0.66007
Risk to Reward – 1: 1.5
Profit & Loss Per Standard Lot = +$407/ -$264
Profit & Loss Per Mini Lot = +$40/ -$26
AUD/USD Price Analysis – June 13, 2024
Daily Price Outlook
Despite the upbeat Australian data, the AUD/USD pair failed to stop its downward trend and remained well offered around the 0.6643 level, hitting the intraday low of 0.6640.
However, the reason for its downward trend could be linked to the bullish US dollar, which gained traction in the wake of a hawkish stance from the US Federal Reserve (Fed).
In contrast to this, the previously released upbeat Australian data, including higher-than-expected Employment Change and Australia’s Unemployment Rate dropping to 4.0% from April’s 4.1% rate (as expected), was seen as a key factor that kept the lid on any additional declines in the AUD/USD pair.
Impact of Australian Economic Indicators and RBA Policy on AUD/USD Pair
On the AUD data front, Australia's Employment Change for May showed an increase of 39.7K employed persons, surpassing expectations of 30.0K and the previous month's 38.5K rise. The Unemployment Rate dropped to 4.0%, down from April's 4.1%, as anticipated.
However, Australia's NAB Business Confidence index fell to -3 index points in May, the lowest in six months and the first negative reading since last November.
Concurrently, Business Conditions decreased to 6 index points, slightly below the long-term average, indicating a mixed outlook for business sentiment despite the positive labor market data.
Moreover, National Australia Bank's Chief Economist Alan Oster noted concerns about economic growth alongside caution about rising inflation. He expects the Reserve Bank of Australia (RBA) to maintain current interest rates for the foreseeable future.
Meanwhile, RBA Governor Michele Bullock recently indicated that the central bank stands ready to raise interest rates if the Consumer Price Index (CPI) fails to return to the target range of 1% to 3%.
Therefore, the AUD/USD pair see support from strong employment data and a lower unemployment rate, but could face pressure from declining business confidence and potential RBA rate hike signals amid inflation concerns.
Impact of Hawkish Fed and US Economic Data on Gold Prices
On the US front, the broad-based US dollar has been gaining momentum due to a hawkish Fed stance on rate cuts. This bullish US dollar is seen as a key factor keeping AUDUSD pair lower. The Federal Reserve's recent decision surprised markets by projecting only one interest rate cut in 2024, down from the three cuts expected in March.
Meanwhile, this hawkish stance overshadowed softer US consumer inflation figures and led to higher US Treasury bond yields, boosting the US dollar. On the data front, the US Bureau of Labor Statistics (BLS) reported that inflation, measured by the Consumer Price Index (CPI), was unchanged in May for the first time since last June.
The annual inflation rate slightly decreased to 3.3% from 3.4%. The core CPI, which excludes food and energy prices, increased by 0.2% in May and rose 3.4% over the past year, down from a 3.6% increase in April and below the expected 3.5%.
Therefore, the AUD/USD pair faced downward pressure as the hawkish Fed stance bolstered the US dollar against non-yielding assets like gold, dampening demand for the Australian dollar amid mixed economic signals.
AUD/USD - Technical Analysis
The AUD/USD pair is currently trading at $0.66450, reflecting a 0.28% decline. The market is exhibiting bearish tendencies as it approaches crucial support levels. The key pivot point to watch is $0.67, a critical level that could dictate the next directional move for the pair.
Immediate resistance is found at $0.67, with subsequent resistances also aligned at $0.67, indicating a significant barrier for bullish attempts. On the downside, immediate support is at $0.66, followed by additional supports at $0.66 and $0.65. These levels are essential for identifying potential buying interest that may stabilize the price.
The Relative Strength Index (RSI) is at 53, suggesting a neutral stance but leaning slightly towards bearish momentum. The 50-day Exponential Moving Average (EMA) is positioned at $0.66, which the current price hovers around, indicating a potential consolidation phase or a pivotal point for future direction.
The current technical indicators suggest a cautious approach. The bearish sentiment below the pivot point of $0.67 indicates potential further downside if the price breaches immediate support levels. Conversely, a break above the resistance could signal a shift towards a bullish trend.
In conclusion, the technical outlook for AUD/USD remains bearish below $0.67. Traders may consider a buy limit order at $0.66271, aiming for a take profit level at $0.66678. A stop loss should be placed at $0.66007 to manage risk effectively.
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AUD/USD Price Analysis – June 11, 2024
Daily Price Outlook
During the European trading session, the AUD/USD currency pair failed to halt its bearish rally and remained under pressure around the 0.6595 level, hitting an intraday low of 0.6592. However, the downward trend can be attributed to risk-off market sentiment, which undermined riskier assets like the Australian dollar and contributed to the AUD/USD pair's declines.
Meanwhile, the decline in Australia's NAB Business Confidence and Business Conditions indices exerted pressure on the AUD currency. On the flip side, the bullish US dollar, backed by robust US jobs data for May, which has reduced the odds of two Federal Reserve interest rate cuts in 2024, was seen as another key factor that kept the AUD/USD pair under pressure.
AUD/USD Pair Analysis: Economic Indicators and RBA Policy Uncertainties
On the AUD front, traders anticipate that the Reserve Bank of Australia (RBA) will maintain higher interest rates this year. RBA Governor Michele Bullock suggested that if the Consumer Price Index (CPI) doesn't return to the target range of 1%-3%, they're ready to increase rates, as reported by NCA NewsWire.
National Australia Bank (NAB) Chief Economist Alan Oster noted concerns about economic growth but also highlighted worries about inflation. He expects the RBA to keep rates steady for a while as they navigate through these contrasting risks, according to the official transcript.
On the data front, Australia's NAB Business Confidence index hit a six-month low of -3 index points in May, turning negative for the first time since November. Business Conditions also dipped to 6 index points, slightly below the long-run average.
On Friday, Australia's Trade Balance widened to A$6,548 million in May, surpassing the expected A$5,500 million and April's balance of A$5,024 million. Imports fell sharply by 7.2% in May, reversing April’s 4.2% increase, while exports contracted by 2.5%, following a 0.6% decline previously.
Therefore, the AUD/USD pair may face pressure due to concerns over Australia's economic growth and inflation, alongside uncertainties regarding RBA's interest rate decisions, exacerbated by negative trade balance and business sentiment data.
Bullish US Dollar Impact on AUD/USD Pair Amidst Positive Jobs Data
On the US front, the broad-based dollar has strengthened following positive jobs data, reducing expectations of an imminent interest rate cut by the Federal Reserve in September. This has kept US Treasury bond yields high, bolstering the dollar.
However, the speculation that the Fed will maintain higher rates for a longer period has lowered the probability of a September rate cut to about 50%, with markets now anticipating only one 25 basis point cut later in the year.
According to the US Bureau of Labor Statistics (BLS), May's US Nonfarm Payrolls (NFP) rose to 272,000, up from April's 165,000. Average Hourly Earnings, a measure of wage inflation, increased to 4.1% YoY in May from April's revised 4.0%, exceeding the market expectation of 3.9%.
Therefore, the AUD/USD pair may face pressure as the stronger US dollar, buoyed by robust jobs data, reduces expectations for a near-term Fed rate cut. This could keep the pair under downward pressure.
AUD/USD - Technical Analysis
The AUD/USD pair experienced a slight decline of 0.19%, bringing its price to $0.66020. This minor dip suggests a bearish sentiment in the market, with technical indicators pointing towards potential further declines. As we analyze the 4-hour chart, key support and resistance levels come into sharp focus, guiding traders on possible price movements.
The pivot point is positioned at $0.6612, slightly above the current price, serving as a critical juncture. Immediate resistance is seen at $0.6650, with subsequent resistance levels at $0.6699 and $0.6735.
Should the price manage to break through these levels, it could signal a shift towards a bullish trend. However, the bearish momentum is more pronounced, as indicated by the immediate support at $0.6575. Further support can be found at $0.6538 and $0.6497, levels that could be tested if the downward pressure continues.
The Relative Strength Index (RSI) is currently at 42, indicating a bearish momentum but not yet oversold. This suggests there is room for further declines before a potential rebound. The 50-Day Exponential Moving Average (EMA) is at $0.6639, reinforcing the bearish outlook as the current price remains below this significant moving average.
In conclusion, given the prevailing technical indicators and key price levels, a bearish strategy is advisable. An entry price with a sell order below $0.66267 is recommended, targeting a take profit at $0.65748 while maintaining a stop loss at $0.66596 to manage risk.
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AUD/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- AUD/USD down 0.19%, trading at $0.66020, bearish outlook.
- Key support at $0.6575, resistance at $0.6650, guiding price action.
- RSI at 42, indicating bearish momentum with room for decline.
The AUD/USD pair experienced a slight decline of 0.19%, bringing its price to $0.66020. This minor dip suggests a bearish sentiment in the market, with technical indicators pointing towards potential further declines.
As we analyze the 4-hour chart, key support and resistance levels come into sharp focus, guiding traders on possible price movements.
The pivot point is positioned at $0.6612, slightly above the current price, serving as a critical juncture. Immediate resistance is seen at $0.6650, with subsequent resistance levels at $0.6699 and $0.6735.
Should the price manage to break through these levels, it could signal a shift towards a bullish trend. However, the bearish momentum is more pronounced, as indicated by the immediate support at $0.6575.
Further support can be found at $0.6538 and $0.6497, levels that could be tested if the downward pressure continues.
The Relative Strength Index (RSI) is currently at 42, indicating a bearish momentum but not yet oversold. This suggests there is room for further declines before a potential rebound.
The 50-Day Exponential Moving Average (EMA) is at $0.6639, reinforcing the bearish outlook as the current price remains below this significant moving average.
In conclusion, given the prevailing technical indicators and key price levels, a bearish strategy is advisable. An entry price with a sell order below $0.66267 is recommended, targeting a take profit at $0.65748 while maintaining a stop loss at $0.66596 to manage risk.
AUD/USD - Trade Ideas
Entry Price – Sell Below 0.66267
Take Profit – 0.65748
Stop Loss – 0.66596
Risk to Reward – 1: 1.5
Profit & Loss Per Standard Lot = +$519/ -$329
Profit & Loss Per Mini Lot = +$51/ -$32