Detailed FX Market Outlook and Analysis

AUD/USD Breaches Below the Key Support Level

audusd analysis

AUD/USD Analysis

The ascent of AUD/USD from 0.6269 has rekindled momentum with the breach of 0.6689, reestablishing an intraday bias favoring the upside. Additionally, the decisive rupture of the medium-term channel resistance signals the completion of the descent from the 2023 high of 0.7156, manifested in a three-wave pattern down to 0.6269. The trajectory suggests a prospective further rise, targeting the 0.6894 resistance. Meanwhile, a cautiously bullish near-term outlook persists as long as the 0.6524 support remains unbreached amid potential retracement scenarios.

Expanding the perspective, a lack of confirmation exists regarding the conclusion of the downtrend from the 2021 high of 0.8006. The price actions from the 2022 low of 0.6169 might represent a medium-term corrective pattern, with the ascent from 0.6269 identified as the third leg within this pattern. A range-bound phase is currently anticipated between 0.6169 and the 2023 high of 0.7156 until further market developments materialize.

Analysis Summary

AUD/USD’s upward momentum resumes, with an intraday bias favoring the upside and potential for further rise to 0.6894. Completing the downward pattern from the 2023 high is signaled, maintaining a cautiously bullish outlook, contingent upon the 0.6524 support.

Key Points

  1. Resumed ascent in AUD/USD; intraday bias on the upside with a target at 0.6894.
  2. Medium-term channel resistance breach suggests completion of the descent from the 2023 high.
  3. The cautiously bullish near-term outlook is contingent upon the resilience of the 0.6524 support.

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