Welcome to Extreme Investor Network, where we provide expert insights and analysis on the stock market, trading, and all things Wall Street. Today, we are focusing on the AUD/USD pair and the factors influencing its price action in the near term.
Short-Term Forecast: Bullish
The near-term trends for AUD/USD will be heavily influenced by US housing sector and consumer sentiment data. Weaker-than-expected figures could potentially lead to multiple 2024 Fed rate cuts, impacting the demand for the US dollar. Investors need to remain vigilant and stay updated on economic data and central bank commentary to make informed trading decisions.
AUD/USD Price Action
On the daily chart, the AUD/USD is currently hovering above the 200-day EMA but below the 50-day EMA, signaling bearish near-term sentiment but bullish longer-term outlook. A breakout above the 50-day EMA could see the bulls pushing towards the top trend line and potentially reaching the $0.67003 resistance level.
Conversely, a drop below the 200-day EMA could bring the $0.65760 support level into play, with further downside potential towards the $0.65500 handle. With the 14-period Daily RSI reading at 51.64, there is room for the Aussie dollar to rise towards the $0.67003 resistance level before potentially entering overbought territory.
Keep an eye on US economic data and central bank commentary as they will play a crucial role in determining the direction of AUD/USD in the coming days. Stay updated with our latest analysis and expert views to effectively manage your exposure to the forex markets.
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