**AUD/USD Weekly Analysis: Technical and Fundamental Overview**
_Source: Adapted and expanded from ActionForex (original author: ActionForex Analyst)_
### Overview
The AUD/USD currency pair has experienced significant movement over the previous week, driven by both technical shifts and notable fundamental events. As the US dollar remains subject to fluctuations in risk sentiment and shifting expectations regarding US Federal Reserve policy, the Australian dollar has been equally influenced by domestic economic data and commodity market trends. This comprehensive analysis will delve into the technical outlook, highlight key support and resistance levels, evaluate the impact of relevant macroeconomic factors, and discuss potential scenarios for AUD/USD in the coming week.
—
## Technical Analysis
### Weekly Performance
– AUD/USD encountered a downward correction, reversing from key highs observed at the beginning of the past week.
– The pair found resistance near the 0.6713 level before pulling back, signaling the persistence of selling pressure at higher levels.
– Support remains present around the 0.6576 zone, a level that historically acted as both resistance and support for the pair.
### Key Support and Resistance Levels
– **Major Resistance:**
– 0.6713: Recent swing high and a level where sellers re-emerged.
– 0.6870: Multi-month range high, capping upside since early 2024.
– **Major Support:**
– 0.6576: Important intermediate support, repeatedly tested over recent weeks.
– 0.6465: Lower support zone, also a significant pivot from prior consolidations.
– 0.6361: March lows, representing a deeper corrective target if bearish momentum increases.
### Chart Dynamics
– The weekly candlestick chart reflects a battle between bulls and bears, with longer upper wicks signaling rejection at higher resistance.
– Moving averages:
– 50-week SMA is trending just above the current price, acting as a dynamic resistance zone.
– 200-week SMA lies further above, maintaining a broader bearish bias as long as AUD/USD trades below.
– Momentum indicators:
– RSI on the weekly chart has retreated from previous highs but remains above the 50 mark, indicating the pair is not yet oversold.
– MACD reveals a flattening in positive momentum, suggesting a lack of follow-through by buyers.
### Daily Chart Insights
– On the daily timeframe, the AUD/USD spent the week consolidating between 0.6576 and 0.6713, with attempts at both breakouts rebuffed.
– Price structure indicates an emerging wedge pattern, foreshadowing an eventual directional break.
– Immediate support on the daily chart sits at the 0.6600 round number, where intraday buyers have stepped in.
– Volume profile shows higher turnover near critical levels, confirming their technical importance.
—
## Fundamental Drivers
### US Dollar Factors
– **Federal Reserve Policy:**
– Market participants have adjusted their expectations for the timing and scale of 202
Read more on AUD/USD trading.