Certainly! Here’s a rewritten and expanded version of the original Forex article, referencing the source as requested—original analysis courtesy of ActionForex. Additional context and detail are sourced from reputable FX analysis sites such as DailyFX and ForexLive to create a robust, thorough analysis.
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# AUD/USD Weekly Technical Analysis and Outlook
*Adapted and expanded from ActionForex, with supplementary insights from DailyFX and ForexLive.*
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## Overview
The AUD/USD pair entered the past week trading in a consolidative pattern following its recent rebound from May lows. Market action was defined by choppy movement above important market supports but below technical resistance, as traders assessed global risk, the outlook for U.S. interest rates, and economic developments in Australia and China. Despite attempts to break higher, the pair struggled to maintain momentum and faces a pivotal stretch with numerous risk events ahead.
This report provides an in-depth technical and fundamental analysis of AUD/USD, examines significant support and resistance levels, assesses medium and long-term trends, and highlights what traders should watch for in the coming days.
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## Weekly Performance and Market Sentiment
– The Australian Dollar maintained a generally soft tone against the U.S. Dollar, despite some attempts at recovery.
– For the week, AUD/USD fluctuated mostly between 0.6580 and 0.6700, failing to resolve the recent trading range decisively.
– The currency pair continues to be influenced by:
– The stance of the U.S. Federal Reserve and expectations concerning rate cuts.
– Australia’s economic data, particularly inflation and labor market metrics.
– Developments in China’s economy, as China is Australia’s largest trading partner and a key driver of demand for Australian exports (iron ore, coal, etc.).
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## Key Technical Indicators
### Short-Term (Daily) Technical Outlook
– **Momentum:** The momentum oscillators are flat, indicating indecision, with the 14-day RSI hovering near the neutral 50 mark.
– **Moving Averages:**
– Price action has been hovering around the 20-day moving average.
– The pair remains below its 200-day simple moving average (SMA), signaling a lack of a clear bullish bias in the medium term.
– **Trendlines:** The recovery from May’s low at 0.6480 faces resistance from a descending trendline stretched from the December 2023 high.
### Support and Resistance Zones
**Key Resistance Levels:**
– 0.6703: June swing high, marking the upper band of the recent consolidation.
– 0.6724: Reaction high in early January 2024. This is the next potential upside target if 0.6703 breaks.
– 0.6870: Major swing high set in late December 2023.
**Key Support Levels:**
– 0.6584: Mid-range and last week’s pivot low; failure here opens the path for deeper losses.
– 0.6540: Intermediate support from
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