|

AUD/USD Price Forecast: Tests 0.6650 near the lower boundary of descending channel

  • AUD/USD price tests the lower boundary of the descending channel around the level of 0.6640.
  • The 14-day RSI breaks below the 50 level, confirming the ongoing bearish trend for the pair.
  • The immediate barrier appears at the 50-day EMA at 0.6675 level.

AUD/USD extends its losses for the second consecutive day, trading around 0.6650 during the European hours on Monday. The daily chart analysis shows that the pair is trekking down along the lower boundary of the descending channel, suggesting the reinforcing of a bearish bias.

Additionally, the 14-day Relative Strength Index (RSI) falls below the 50 level, confirming the ongoing bearish trend for the AUD/USD pair.

However, the daily chart analysis also indicates that the 9-day Exponential Moving Average (EMA) is positioned above the 50-day EMA, which is typically interpreted as a short-term bullish signal. This suggests that the recent price action is outperforming the longer-term trend.

On the downside, the AUD/USD pair targets the lower boundary of the descending channel around the level of 0.6640. A break below this level could strengthen the bearish bias and lead the pair to navigate the region around the throwback support at 0.6575.

In terms of resistance, the immediate barrier appears at the 50-day EMA at 0.6675 level, followed by the nine-day EMA at 0.6715 level. A breakthrough above the latter could weaken the bearish bias and support the AUD/USD pair to test the upper boundary of the descending channel around the 0.6750 level.

A breach above the descending channel could extend the upside and lead the pair to explore the region around its seven-month high of 0.6798, reached on July 11.

(This story was corrected on September 9 at 10:30 GMT to say that the the lower boundary of the descending channel is at 0.6640, not 0.6440.)

AUD/USD: Daily Chart

Australian Dollar PRICE Today

The table below shows the percentage change of Australian Dollar (AUD) against listed major currencies today. Australian Dollar was the weakest against the Canadian Dollar.

 USDEURGBPJPYCADAUDNZDCHF
USD 0.32%0.32%0.79%0.03%0.23%0.65%0.43%
EUR-0.32% -0.05%0.52%-0.28%-0.14%0.34%0.10%
GBP-0.32%0.05% 0.43%-0.23%-0.08%0.37%0.15%
JPY-0.79%-0.52%-0.43% -0.75%-0.53%-0.15%-0.15%
CAD-0.03%0.28%0.23%0.75% 0.25%0.60%0.57%
AUD-0.23%0.14%0.08%0.53%-0.25% 0.46%0.20%
NZD-0.65%-0.34%-0.37%0.15%-0.60%-0.46% -0.22%
CHF-0.43%-0.10%-0.15%0.15%-0.57%-0.20%0.22% 

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Australian Dollar from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent AUD (base)/USD (quote).

Author

Akhtar Faruqui

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

More from Akhtar Faruqui
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

EUR/USD falls toward 1.1700 on broad USD recovery

EUR/USD turns south and declines toward 1.1700 on Wednesday. The US Dollar gathers recovery momentum and forces the pair to stay on the back foor, as traders look to USD short-covering ahead of US inflation report on Thursday. However, the downside could be capped by hawkish ECB expectations. 

GBP/USD trades deep in red below 1.3350 after soft UK inflation data

GBP/USD stays under strong selling pressure midweek and trades below 1.3350. The UK annual headline and core CPI rose by 3.2% each, missing estimates of 3.5% and 3.4%, respectively, reaffirming dovish BoE expectations and smashing the Pound Sterling across the board ahead of Thurday's BoE policy announcements. 

Gold clings to moderate daily gains above $4,300

Following Tuesday's volatile action, Gold regains its traction on Wednesday and trades in positive territory above $4,300. While the buildup in the USD recovery momentum caps XAU/USD's upside, the cautious market stance helps the pair hold its ground.

Bitcoin risks deeper correction as ETF outflows mount, derivative traders stay on the sidelines

Bitcoin (BTC) remains under pressure, trading below $87,000 on Wednesday, nearing a key support level. A decisive daily close below this zone could open the door to a deeper correction.

Monetary policy: Three central banks, three decisions, the same caution

While the Fed eased its monetary policy on 10 December for the third consecutive FOMC meeting, without making any guarantees about future action, the BoE, the ECB and the BoJ are holding their respective meetings this week. 

Crypto Today: Bitcoin, Ethereum, XRP slide further as risk-off sentiment deepens

Bitcoin faces extended pressure as institutional investors reduce their risk exposure. Ethereum’s upside capped at $3,000, weighed down by ETF outflows and bearish signals. XRP slides toward November’s support at $1.82 despite mild ETF inflows.