AUD/USD Price Forecast Technical Analysis
The Australian dollar is going to be in focus next week. Retail sales will be released on Monday while the Reserve Bank of Australia will be making a decision on interest rates a day later on Tuesday, the expectation for rate decisions is UN change, and also we have US jobs report on Friday. If the jobs data come out in line with or higher than expected then the probability of a March Fed rate increase will increase by a few more notches.
The Australian dollar couldn’t have managed to stay above 0.7760 we could see the resistance line and bands at this area.
Since August 2016 aud/and/or has been trading in a relatively narrow corridor between 0.7460 and 0.7750.
We can see in charts the resistance line since 2000, the aud/usd broke this line, and can’t stay above him again –as long as aud/usd will remain below those levels the target will be lower at 0.59 price area
Also see similar move in the chart 1998-1999 years (I had talked a lot of the similar patterns in markets behavior to those years)
At this stage, we need to see a distinct reversal price pattern in order for the short-term trend to turn bullish or bearish.
We may see a bounce next week to 0.77 price area again, but if 0.7430 price level gives way then the AUD/USD could start a much deeper correction.
one last thing is COT position:
cot report show us an increase in short position, need to keep an eye on that
This review does not including any document and / or file attached to it as an advice or recommendation to buy / sell securities and / or other advice