Yahoo Finance AUD/USD Forecast – Aussie Continues to Bounce in a Range
Australian Dollar vs US Dollar Technical Analysis
You can see that the Aussie dollar really hasn’t done much in the early hours on Thursday as we did initially try to rally a bit, but then gave that back the gains. We are currently dancing around the 50-day EMA and, perhaps more importantly, right around the middle of the overall consolidation, which has 0.6450 on the bottom and 0.6650 on the top.
With the jobs report coming out on Friday, it’s not overly surprising that there isn’t a lot of money going towards anything, but at this point it’s also worth noting that as we’re in the middle of this consolidation, it’s not overly surprising that we are seeing stagnation. I think that may be the key here because there’s no real driver one way or the other.
Sure, the jobs number will probably get people excited for a couple of hours, and then we will go right back to being flat and stuck in the middle of this range unless something truly extraordinary happens. As a general rule, with this and the Euro against the dollar, I just watch them for an idea as to how the US dollar might do against other currencies.
Think of it as a way to splice up the US dollar index for example. I don’t expect a big move in this pair. I think we are squeezing back and forth and waiting for some type of fundamental clarity. With that being said, don’t be surprised at all if this market stays relatively neutral most of the year.
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This article was originally posted on FX Empire
