Detailed FX Market Outlook and Analysis

AUD/USD Daily Analysis 26-MAY-2023

forexwick.com Daily Analysis


In the daily analysis of AUD/USD, the intraday outlook suggests a continued bearish bias for the currency pair. The current decline from 0.7159 is anticipated to target the 61.8% projection level, derived from the range of 0.7159 to 0.6566 with reference to the 0.6820 level, residing at 0.6454. A decisive breakthrough below this level would signify a potential move towards the 100% projection level, situated at 0.6227. Conversely, a reversal of fortunes would require surpassing the minor resistance at 0.6548 to neutralize the intraday bias.

Expanding the perspective to the broader picture, the rejection at the 55-week Exponential Moving Average (EMA) positioned at 0.6825 maintains a bearish medium-term outlook. The firm breach of the 61.8% retracement level, calculated from 0.6172 to 0.7159 and noted at 0.6549, indicates the completion of the overall rebound from 0.6172, marking it at 0.7159. This development strengthens the likelihood of the larger downtrend from the 2021 high of 0.8009 resuming, potentially aiming to breach the previous low at 0.6172. It is important to note that this scenario remains favorable as long as the resistance level at 0.6817 remains unbroken.

AUD/USD Daily Analysis Summary

In summary, the daily update and intraday analysis of AUD/USD affirm a prevailing bearish bias, with attention directed towards key support levels. The ongoing decline is expected to gravitate towards 0.6454 and potentially extend to 0.6227, while a breakout above 0.6548 could temporarily shift the intraday bias to a more neutral stance. Traders and investors should closely monitor these levels for potential market movements and adjust their strategies accordingly.


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