AUD/USD Forecast: Bears side-lined

Valeria Bednarik FXStreet

AUD/USD Current Price: 0.7283

Aussie held on to higher ground despite the sour tone of equities.
RBA Meeting Minutes and Australian August employment data in the spotlight.
AUD/USD is neutral-to-bullish but unable to firm up beyond 0.7300.

The AUD/USD pair recovered the ground lost at the beginning of the week on Friday, to settle int he 0.7280 price zone. Aussie traders got little clues last week, as the Australian macroeconomic calendar was scarce these days. Nevertheless, the Australian currency was quite resilient, considering the sour tone of equities. Helping the pair to hold near the 0.7300 level was the decreasing demand for the American currency.

Australia won’t publish data at the beginning of the week, which means that the pair will likely continue depending on sentiment. However, the calendar will include these days the RBA Meeting Minutes and August employment data, both capable of spurring some action.

AUD/USD short-term technical outlook

The AUD/USD pair is neutral-to-bullish according to the daily chart, as it has held above around a mildly bullish 20 DMA, while the larger ones remain below it, with the 100 DMA maintaining its bullish slope. Technical indicators, in the meantime, hold within positive levels with limited upward strength. In the shorter-term, and according to the 4-hour chart, the pair met buyers around converging 20 and 100 SMA, which lack directional strength. The Momentum indicator turned lower within positive levels, while the RSI hovers around 52. The pair could turn bearish only on a break below 0.7170.

Support levels: 0.7250 0.7215 0.7170

Resistance levels: 0.7310 0.7350 0.7385

View Live Chart for the AUD/USD

Author

Valeria Bednarik

FXStreet

Valeria Bednarik was born and lives in Buenos Aires, Argentina. Her passion for math and numbers pushed her into studying economics in her younger years.

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