Daily Trade Ideas

AUD/USD Price Analysis and Trade Forecast: Daily Trading Signal

By LonghornFX Technical Analysis
Jun 20, 2024
Audusd

Daily Price Outlook

- AUD/USD drops to $0.66716, down 0.08%, highlighting bearish sentiment.

- Pivot point at $0.6675; key resistance at $0.6690, $0.6704, $0.6719.

- RSI at 65; 50 EMA at $0.6630 provides strong support.

The AUD/USD pair is currently trading at $0.66716, showing a slight decline of 0.08%. The 4-hour chart highlights key technical levels that are crucial for traders. The pivot point at $0.6675 is a significant marker for determining the next direction of price movement. Immediate resistance is seen at $0.6690, with further resistance levels at $0.6704 and $0.6719. These resistance points are essential barriers that could cap any potential upward movement.

On the support side, immediate support is located at $0.6654, followed by stronger support levels at $0.6641 and $0.6630. These support levels are vital in preventing further declines in the AUD/USD pair.

Technical Indicators:

    The bearish outlook is supported by the current price action, which is below the pivot point of $0.6675. Market sentiment remains cautious, influenced by global economic factors and domestic data releases that impact the Australian dollar.

    Conclusion:

    For traders looking to capitalize on the current bearish trend, an entry price below $0.66745 is recommended. The take profit level is set at $0.66484, with a stop loss at $0.66897 to manage potential risks.

    AUD/USD Price Chart - Source: Tradingview
    AUD/USD Price Chart - Source: Tradingview

    AUD/USD - Trade Ideas

    Entry Price – Sell Below 0.66745

    Take Profit – 0.66484

    Stop Loss – 0.66897

    Risk to Reward – 1: 1.7

    Profit & Loss Per Standard Lot = +$261/ -$152

    Profit & Loss Per Mini Lot = +$26/ -$15

    AUD/USD

    Technical Analysis

    AUD/USD Price Analysis – June 20, 2024

    By LonghornFX Technical Analysis
    Jun 20, 2024
    Audusd

    Daily Price Outlook

    During the European trading session, the AUD/USD currency pair maintained its upward rally and remained well bid around the 0.6541 level, hitting an intraday high of 0.6680. The upward trend can be attributed to the risk-on market sentiment, which supports riskier assets such as the Australian dollar. Meanwhile, the Reserve Bank of Australia (RBA) took a hawkish stance at its June meeting on Tuesday, which further bolstered the AUD/USD pair. Conversely, the US dollar weakened due to increased expectations of a Fed rate cut, which weighed on the Greenback and contributed to the gains in the AUD/USD pair.

    Impact of RBA's Hawkish Stance on AUD/USD Outlook

    On the AUD front, the Australian Dollar is gaining ground because the Reserve Bank of Australia (RBA) maintained a hawkish stance at its June meeting. Despite acknowledging economic uncertainties and challenges in achieving inflation targets, the RBA's decision to keep the cash rate unchanged at 4.35% hinted at a cautious optimism.

    Governor Michele Bullock emphasized a readiness to take necessary actions to stabilize inflation. Traders are eyeing the upcoming Australian Judo Bank Manufacturing PMI for June, expected to improve to 50.6, which could influence future RBA decisions and potentially support the Australian dollar against the USD.

    Therefore, the hawkish RBA stance and potential economic recovery indicated by the PMI could bolster the AUD/USD pair amid expectations of delayed rate cuts and improved sentiment towards the Australian dollar.

    Impact of US Economic Indicators on AUD/USD Pair

    On the US front, the broad-based US dollar lost some of its gains due to earlier expectations and speculation of Federal Reserve interest rate cuts. This shift was influenced by weaker Retail Sales data and concerns about economic slowdown, which have tempered market optimism. Meanwhile, the Fed's revised projection of only one rate cut this year, down from earlier expectations of three, could help the US dollar limit its losses. This adjustment has stabilized Treasury yields and restored some investor confidence, countering earlier concerns about economic slowdown and reducing downward pressure on the dollar.

    Therefore, the US dollar's mild bearish bias, driven by reduced rate cut expectations and stabilized Treasury yields, ease downward pressure on the AUD/USD pair amid improved investor sentiment towards the dollar.

    Looking ahead, investors will focus on several key economic indicators and events in the United States. These include the release of weekly Initial Jobless Claims, Building Permits, Housing Starts, the Philly Fed Manufacturing Index, and a speech by Fed official Neel Kashkari on Thursday. Additionally, on Friday, attention will turn to the preliminary US S&P Global PMI reports for June.

    AUD/USD Price Chart - Source: Tradingview
    AUD/USD Price Chart - Source: Tradingview

    AUD/USD - Technical Analysis

    The AUD/USD pair is currently trading at $0.66716, showing a slight decline of 0.08%. The 4-hour chart highlights key technical levels that are crucial for traders. The pivot point at $0.6675 is a significant marker for determining the next direction of price movement. Immediate resistance is seen at $0.6690, with further resistance levels at $0.6704 and $0.6719. These resistance points are essential barriers that could cap any potential upward movement.

    On the support side, immediate support is located at $0.6654, followed by stronger support levels at $0.6641 and $0.6630. These support levels are vital in preventing further declines in the AUD/USD pair.

    Technical Indicators:

      The bearish outlook is supported by the current price action, which is below the pivot point of $0.6675. Market sentiment remains cautious, influenced by global economic factors and domestic data releases that impact the Australian dollar.

      Conclusion:

      For traders looking to capitalize on the current bearish trend, an entry price below $0.66745 is recommended. The take profit level is set at $0.66484, with a stop loss at $0.66897 to manage potential risks.

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      AUD/USD

      Technical Analysis

      AUD/USD Price Analysis – June 19, 2024

      By LonghornFX Technical Analysis
      Jun 19, 2024
      Audusd

      Daily Price Outlook

      During the European trading session, the AUD/USD currency pair maintained its upward trend and remained well bid around the $0.6672 level, hitting an intraday high of $0.6676. The robust performance was mainly driven by a combination of factors, including concerns over the US economic recovery exacerbated by weaker-than-expected economic data such as the latest US Retail Sales figures. This has prompted market participants to revise down their expectations for US Federal Reserve interest rate hikes, thereby weakening the USD.

      At the same time, the Reserve Bank of Australia (RBA) has kept its Official Cash Rate (OCR) unchanged at 4.35% for the fifth straight meeting, maintaining a confident stance. This decision surprised some analysts who expected a more cautious approach due to global economic uncertainties. The RBA's focus on monitoring inflation closely and its decision not to lower rates soon have boosted investor confidence in the AUD, supporting its recent upward trend.

      Impact of Hawkish Messages from the RBA on AUD/USD

      On the AUD front, the Reserve Bank of Australia (RBA) maintained its Official Cash Rate (OCR) at 4.35% in its June meeting, extending the longest period without change since 2022. This decision has postponed expectations for rate cuts, bolstering the Australian dollar. The RBA highlighted economic uncertainty and challenges in achieving target inflation levels, signaling a cautious stance. It emphasized vigilance against potential inflationary pressures, indicating a prolonged wait for stable inflation.

      Thus, the RBA's hawkish hold suggests a conservative approach amidst economic uncertainties, influencing market expectations towards a potential easing cycle starting in 2025.

      Therefore, this sentiment has boosted demand for the Australian Dollar, pushing the AUD/USD pair higher as traders recalibrate their expectations for future interest rate differentials between Australia and the United States.

      Weaker-than-Expected US Retail Sales Data and its Impact on AUD/USD

      On the US front, the recent release of weaker-than-expected US Retail Sales data has added further support to the AUD/USD pair's upward momentum. The Commerce Department reported a modest 0.1% month-on-month increase in May, falling short of the anticipated 0.2% rise. This disappointing economic indicator has raised concerns about the strength of consumer spending, a crucial driver of US economic growth.

      Market participants interpreted the poor Retail Sales figures as a potential signal for softer economic activity in the US, which could prompt the Federal Reserve to adopt a more accommodative stance in its monetary policy. However ,the comments from Federal Reserve officials, including hints at possible rate cuts later in the year, have further dampened the USD's appeal, contributing to its depreciation against the AUD.

      AUD/USD Price Chart - Source: Tradingview
      AUD/USD Price Chart - Source: Tradingview

      AUD/USD - Technical Analysis

      The AUD/USD is currently trading at $0.66704, up 0.23%, as it navigates within a consolidation phase on the 4-hour chart. The pivot point is set at $0.6697, which is crucial for determining the next price movement.

      Immediate resistance levels are identified at $0.6705, followed by $0.6729 and $0.6754. These resistance levels are key hurdles that need to be surpassed for a sustained bullish momentum.

      On the downside, immediate support is seen at $0.6640, with further support at $0.6620 and $0.6586. These support levels are essential in preventing deeper declines and will be closely monitored by market participants.

      The Relative Strength Index (RSI) is at 66, indicating that the pair is nearing overbought conditions, which could signal a potential reversal or consolidation in the near term. The 50-day Exponential Moving Average (EMA) is positioned at $0.6623, providing a significant support level and reinforcing the bullish outlook.

      The overall outlook for AUD/USD remains cautiously bullish above the $0.6697 pivot point. A break above this level could trigger further buying interest, targeting the higher resistance levels mentioned.

      Conversely, a drop below the immediate support at $0.6640 could lead to increased selling pressure and test lower support levels.

      The recommended entry point is to buy above $0.66616, with a take profit target at $0.66965 and a stop loss at $0.66398.

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      AUD/USD

      Daily Trade Ideas

      AUD/USD Price Analysis and Trade Forecast: Daily Trading Signal

      By LonghornFX Technical Analysis
      Jun 19, 2024
      Audusd

      Daily Price Outlook

      - AUD/USD is trading at $0.66704, up 0.23%, with a pivot point at $0.6697.

      - Immediate resistance at $0.6705, $0.6729, and $0.6754; support at $0.6640, $0.6620, and $0.6586.

      - RSI at 66 and 50-day EMA at $0.6623 indicate nearing overbought conditions and strong support.

      The AUD/USD is currently trading at $0.66704, up 0.23%, as it navigates within a consolidation phase on the 4-hour chart. The pivot point is set at $0.6697, which is crucial for determining the next price movement.

      Immediate resistance levels are identified at $0.6705, followed by $0.6729 and $0.6754. These resistance levels are key hurdles that need to be surpassed for a sustained bullish momentum.

      On the downside, immediate support is seen at $0.6640, with further support at $0.6620 and $0.6586. These support levels are essential in preventing deeper declines and will be closely monitored by market participants.

      The Relative Strength Index (RSI) is at 66, indicating that the pair is nearing overbought conditions, which could signal a potential reversal or consolidation in the near term. The 50-day Exponential Moving Average (EMA) is positioned at $0.6623, providing a significant support level and reinforcing the bullish outlook.

      The overall outlook for AUD/USD remains cautiously bullish above the $0.6697 pivot point. A break above this level could trigger further buying interest, targeting the higher resistance levels mentioned.

      Conversely, a drop below the immediate support at $0.6640 could lead to increased selling pressure and test lower support levels.

      The recommended entry point is to buy above $0.66616, with a take profit target at $0.66965 and a stop loss at $0.66398.

      AUD/USD Price Chart - Source: Tradingview
      AUD/USD Price Chart - Source: Tradingview

      AUD/USD - Trade Ideas

      Entry Price – Buy Above 0.66616

      Take Profit – 0.66965

      Stop Loss – 0.66398

      Risk to Reward – 1: 1.6

      Profit & Loss Per Standard Lot = +$349/ -$218

      Profit & Loss Per Mini Lot = +$34/ -$21

      AUD/USD

      Technical Analysis

      AUD/USD Price Analysis – June 13, 2024

      By LonghornFX Technical Analysis
      Jun 13, 2024
      Audusd

      Daily Price Outlook

      Despite the upbeat Australian data, the AUD/USD pair failed to stop its downward trend and remained well offered around the 0.6643 level, hitting the intraday low of 0.6640.

      However, the reason for its downward trend could be linked to the bullish US dollar, which gained traction in the wake of a hawkish stance from the US Federal Reserve (Fed).

      In contrast to this, the previously released upbeat Australian data, including higher-than-expected Employment Change and Australia’s Unemployment Rate dropping to 4.0% from April’s 4.1% rate (as expected), was seen as a key factor that kept the lid on any additional declines in the AUD/USD pair.

      Impact of Australian Economic Indicators and RBA Policy on AUD/USD Pair

      On the AUD data front, Australia's Employment Change for May showed an increase of 39.7K employed persons, surpassing expectations of 30.0K and the previous month's 38.5K rise. The Unemployment Rate dropped to 4.0%, down from April's 4.1%, as anticipated.

      However, Australia's NAB Business Confidence index fell to -3 index points in May, the lowest in six months and the first negative reading since last November.

      Concurrently, Business Conditions decreased to 6 index points, slightly below the long-term average, indicating a mixed outlook for business sentiment despite the positive labor market data.

      Moreover, National Australia Bank's Chief Economist Alan Oster noted concerns about economic growth alongside caution about rising inflation. He expects the Reserve Bank of Australia (RBA) to maintain current interest rates for the foreseeable future.

      Meanwhile, RBA Governor Michele Bullock recently indicated that the central bank stands ready to raise interest rates if the Consumer Price Index (CPI) fails to return to the target range of 1% to 3%.

      Therefore, the AUD/USD pair see support from strong employment data and a lower unemployment rate, but could face pressure from declining business confidence and potential RBA rate hike signals amid inflation concerns.

      Impact of Hawkish Fed and US Economic Data on Gold Prices

      On the US front, the broad-based US dollar has been gaining momentum due to a hawkish Fed stance on rate cuts. This bullish US dollar is seen as a key factor keeping AUDUSD pair lower. The Federal Reserve's recent decision surprised markets by projecting only one interest rate cut in 2024, down from the three cuts expected in March.

      Meanwhile, this hawkish stance overshadowed softer US consumer inflation figures and led to higher US Treasury bond yields, boosting the US dollar. On the data front, the US Bureau of Labor Statistics (BLS) reported that inflation, measured by the Consumer Price Index (CPI), was unchanged in May for the first time since last June.

      The annual inflation rate slightly decreased to 3.3% from 3.4%. The core CPI, which excludes food and energy prices, increased by 0.2% in May and rose 3.4% over the past year, down from a 3.6% increase in April and below the expected 3.5%.

      Therefore, the AUD/USD pair faced downward pressure as the hawkish Fed stance bolstered the US dollar against non-yielding assets like gold, dampening demand for the Australian dollar amid mixed economic signals.

      AUD/USD Price Chart - Source: Tradingview
      AUD/USD Price Chart - Source: Tradingview

      AUD/USD - Technical Analysis

      The AUD/USD pair is currently trading at $0.66450, reflecting a 0.28% decline. The market is exhibiting bearish tendencies as it approaches crucial support levels. The key pivot point to watch is $0.67, a critical level that could dictate the next directional move for the pair.

      Immediate resistance is found at $0.67, with subsequent resistances also aligned at $0.67, indicating a significant barrier for bullish attempts. On the downside, immediate support is at $0.66, followed by additional supports at $0.66 and $0.65. These levels are essential for identifying potential buying interest that may stabilize the price.

      The Relative Strength Index (RSI) is at 53, suggesting a neutral stance but leaning slightly towards bearish momentum. The 50-day Exponential Moving Average (EMA) is positioned at $0.66, which the current price hovers around, indicating a potential consolidation phase or a pivotal point for future direction.

      The current technical indicators suggest a cautious approach. The bearish sentiment below the pivot point of $0.67 indicates potential further downside if the price breaches immediate support levels. Conversely, a break above the resistance could signal a shift towards a bullish trend.

      In conclusion, the technical outlook for AUD/USD remains bearish below $0.67. Traders may consider a buy limit order at $0.66271, aiming for a take profit level at $0.66678. A stop loss should be placed at $0.66007 to manage risk effectively.

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      AUD/USD

      Daily Trade Ideas

      AUD/USD Price Analysis and Trade Forecast: Daily Trading Signal

      By LonghornFX Technical Analysis
      Jun 13, 2024
      Audusd

      Daily Price Outlook

      - AUD/USD trading at $0.66450, down 0.28%, approaching significant support levels.

      - Immediate resistance at $0.67, with support at $0.66 indicating potential further downside.

      - RSI at 53 and 50 EMA at $0.66 suggest a neutral to bearish outlook.

      The AUD/USD pair is currently trading at $0.66450, reflecting a 0.28% decline. The market is exhibiting bearish tendencies as it approaches crucial support levels. The key pivot point to watch is $0.67, a critical level that could dictate the next directional move for the pair.

      Immediate resistance is found at $0.67, with subsequent resistances also aligned at $0.67, indicating a significant barrier for bullish attempts. On the downside, immediate support is at $0.66, followed by additional supports at $0.66 and $0.65. These levels are essential for identifying potential buying interest that may stabilize the price.

      The Relative Strength Index (RSI) is at 53, suggesting a neutral stance but leaning slightly towards bearish momentum. The 50-day Exponential Moving Average (EMA) is positioned at $0.66, which the current price hovers around, indicating a potential consolidation phase or a pivotal point for future direction.

      The current technical indicators suggest a cautious approach. The bearish sentiment below the pivot point of $0.67 indicates potential further downside if the price breaches immediate support levels. Conversely, a break above the resistance could signal a shift towards a bullish trend.

      In conclusion, the technical outlook for AUD/USD remains bearish below $0.67. Traders may consider a buy limit order at $0.66271, aiming for a take profit level at $0.66678. A stop loss should be placed at $0.66007 to manage risk effectively.

      AUD/USD Price Chart - Source: Tradingview
      AUD/USD Price Chart - Source: Tradingview

      AUD/USD - Trade Ideas

      Entry Price – Buy Limit 0.66271

      Take Profit – 0.66678

      Stop Loss – 0.66007

      Risk to Reward – 1: 1.5

      Profit & Loss Per Standard Lot = +$407/ -$264

      Profit & Loss Per Mini Lot = +$40/ -$26

      AUD/USD

      Technical Analysis

      AUD/USD Price Analysis – June 11, 2024

      By LonghornFX Technical Analysis
      Jun 11, 2024
      Audusd

      Daily Price Outlook

      During the European trading session, the AUD/USD currency pair failed to halt its bearish rally and remained under pressure around the 0.6595 level, hitting an intraday low of 0.6592. However, the downward trend can be attributed to risk-off market sentiment, which undermined riskier assets like the Australian dollar and contributed to the AUD/USD pair's declines.

      Meanwhile, the decline in Australia's NAB Business Confidence and Business Conditions indices exerted pressure on the AUD currency. On the flip side, the bullish US dollar, backed by robust US jobs data for May, which has reduced the odds of two Federal Reserve interest rate cuts in 2024, was seen as another key factor that kept the AUD/USD pair under pressure.

      AUD/USD Pair Analysis: Economic Indicators and RBA Policy Uncertainties

      On the AUD front, traders anticipate that the Reserve Bank of Australia (RBA) will maintain higher interest rates this year. RBA Governor Michele Bullock suggested that if the Consumer Price Index (CPI) doesn't return to the target range of 1%-3%, they're ready to increase rates, as reported by NCA NewsWire.

      National Australia Bank (NAB) Chief Economist Alan Oster noted concerns about economic growth but also highlighted worries about inflation. He expects the RBA to keep rates steady for a while as they navigate through these contrasting risks, according to the official transcript.

      On the data front, Australia's NAB Business Confidence index hit a six-month low of -3 index points in May, turning negative for the first time since November. Business Conditions also dipped to 6 index points, slightly below the long-run average.

      On Friday, Australia's Trade Balance widened to A$6,548 million in May, surpassing the expected A$5,500 million and April's balance of A$5,024 million. Imports fell sharply by 7.2% in May, reversing April’s 4.2% increase, while exports contracted by 2.5%, following a 0.6% decline previously.

      Therefore, the AUD/USD pair may face pressure due to concerns over Australia's economic growth and inflation, alongside uncertainties regarding RBA's interest rate decisions, exacerbated by negative trade balance and business sentiment data.

      Bullish US Dollar Impact on AUD/USD Pair Amidst Positive Jobs Data

      On the US front, the broad-based dollar has strengthened following positive jobs data, reducing expectations of an imminent interest rate cut by the Federal Reserve in September. This has kept US Treasury bond yields high, bolstering the dollar.

      However, the speculation that the Fed will maintain higher rates for a longer period has lowered the probability of a September rate cut to about 50%, with markets now anticipating only one 25 basis point cut later in the year.

      According to the US Bureau of Labor Statistics (BLS), May's US Nonfarm Payrolls (NFP) rose to 272,000, up from April's 165,000. Average Hourly Earnings, a measure of wage inflation, increased to 4.1% YoY in May from April's revised 4.0%, exceeding the market expectation of 3.9%.

      Therefore, the AUD/USD pair may face pressure as the stronger US dollar, buoyed by robust jobs data, reduces expectations for a near-term Fed rate cut. This could keep the pair under downward pressure.

      AUD/USD Price Chart - Source: Tradingview
      AUD/USD Price Chart - Source: Tradingview

      AUD/USD - Technical Analysis

      The AUD/USD pair experienced a slight decline of 0.19%, bringing its price to $0.66020. This minor dip suggests a bearish sentiment in the market, with technical indicators pointing towards potential further declines. As we analyze the 4-hour chart, key support and resistance levels come into sharp focus, guiding traders on possible price movements.

      The pivot point is positioned at $0.6612, slightly above the current price, serving as a critical juncture. Immediate resistance is seen at $0.6650, with subsequent resistance levels at $0.6699 and $0.6735.

      Should the price manage to break through these levels, it could signal a shift towards a bullish trend. However, the bearish momentum is more pronounced, as indicated by the immediate support at $0.6575. Further support can be found at $0.6538 and $0.6497, levels that could be tested if the downward pressure continues.

      The Relative Strength Index (RSI) is currently at 42, indicating a bearish momentum but not yet oversold. This suggests there is room for further declines before a potential rebound. The 50-Day Exponential Moving Average (EMA) is at $0.6639, reinforcing the bearish outlook as the current price remains below this significant moving average.

      In conclusion, given the prevailing technical indicators and key price levels, a bearish strategy is advisable. An entry price with a sell order below $0.66267 is recommended, targeting a take profit at $0.65748 while maintaining a stop loss at $0.66596 to manage risk.

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      Daily Trade Ideas

      AUD/USD Price Analysis and Trade Forecast: Daily Trading Signal

      By LonghornFX Technical Analysis
      Jun 11, 2024
      Audusd

      Daily Price Outlook

      - AUD/USD down 0.19%, trading at $0.66020, bearish outlook.

      - Key support at $0.6575, resistance at $0.6650, guiding price action.

      - RSI at 42, indicating bearish momentum with room for decline.

      The AUD/USD pair experienced a slight decline of 0.19%, bringing its price to $0.66020. This minor dip suggests a bearish sentiment in the market, with technical indicators pointing towards potential further declines.

      As we analyze the 4-hour chart, key support and resistance levels come into sharp focus, guiding traders on possible price movements.

      The pivot point is positioned at $0.6612, slightly above the current price, serving as a critical juncture. Immediate resistance is seen at $0.6650, with subsequent resistance levels at $0.6699 and $0.6735.

      Should the price manage to break through these levels, it could signal a shift towards a bullish trend. However, the bearish momentum is more pronounced, as indicated by the immediate support at $0.6575.

      Further support can be found at $0.6538 and $0.6497, levels that could be tested if the downward pressure continues.

      The Relative Strength Index (RSI) is currently at 42, indicating a bearish momentum but not yet oversold. This suggests there is room for further declines before a potential rebound.

      The 50-Day Exponential Moving Average (EMA) is at $0.6639, reinforcing the bearish outlook as the current price remains below this significant moving average.

      In conclusion, given the prevailing technical indicators and key price levels, a bearish strategy is advisable. An entry price with a sell order below $0.66267 is recommended, targeting a take profit at $0.65748 while maintaining a stop loss at $0.66596 to manage risk.

      AUD/USD Price Chart - Source: Tradingview
      AUD/USD Price Chart - Source: Tradingview

      AUD/USD - Trade Ideas

      Entry Price – Sell Below 0.66267

      Take Profit – 0.65748

      Stop Loss – 0.66596

      Risk to Reward – 1: 1.5

      Profit & Loss Per Standard Lot = +$519/ -$329

      Profit & Loss Per Mini Lot = +$51/ -$32

      AUD/USD

      Technical Analysis

      AUD/USD Price Analysis – June 6, 2024

      By LonghornFX Technical Analysis
      Jun 6, 2024
      Audusd

      Daily Price Outlook

      During the European trading session, the AUD/USD currency pair maintained its upward trend and remained well bid around the 0.6650 level, hitting the intraday high of 0.6683 level.

      The reason for its upward trend could be tied to a hawkish statement by Reserve Bank of Australia (RBA) Governor Michele Bullock on Wednesday. Moreover, the previously released upbeat Trade Balance data in Australia was seen as another key factor that kept the AUD/USD pair higher.

      On the other side, the broad-based US dollar bearish bias, driven by the Fed rate cut, has played its major role in supporting the AUD/USD pair's gains. Moving ahead, traders seem cautious to place any strong positions ahead of the release of US employment data on Friday, including Average Hourly Earnings and Nonfarm Payrolls.

      AUD/USD Strengthens Despite Economic Data Disappointments

      On the AUD front, the upticks in the AUD/USD pair were bolstered further after the hawkish statement from Reserve Bank of Australia (RBA) Governor Michele Bullock on Wednesday.

      Bullock hinted at possible interest rate hikes if the Consumer Price Index (CPI) doesn't rebound to the target range of 1%-3%. She also noted a slight easing in the labor market, as reported by NCA NewsWire.

      These remarks suggest a proactive stance from the RBA to maintain economic stability, which could bolster confidence in the Australian Dollar. Additionally, any positive developments in the CPI and labor market could further support the currency's upward momentum.

      On the data front, Australia's Gross Domestic Product (GDP) released on Wednesday showed modest growth of 0.1% in the first quarter, below the expected 0.2%. Annually, the economy expanded by 1.1%, slightly lower than the anticipated 1.2%.

      Judo Bank's Purchasing Managers Index (PMI) for May was 52.5, falling short of the expected 53.1, while the Composite PMI dipped slightly to 52.1 from April's 53.0, indicating a slower growth rate in Australia's private sector output for the fourth consecutive month.

      Therefore, the AUD/USD pair strengthened on RBA Governor Bullock's hawkish tone, despite Australia's lower-than-expected GDP growth and weaker PMI figures, signaling ongoing investor confidence in the Australian Dollar.

      AUD/USD Price Chart - Source: Tradingview
      AUD/USD Price Chart - Source: Tradingview

      AUD/USD - Technical Analysis

      AUD/USD is currently trading at $0.66443, reflecting a modest 0.12% increase on a four-hour chart timeframe. The pivot point is set at $0.6702, serving as a critical marker for potential price movements.

      Immediate resistance is identified at $0.6699, with subsequent levels at $0.6735 and $0.6771. On the downside, immediate support is found at $0.6591, followed by $0.6559 and $0.6528.

      The Relative Strength Index (RSI) is at 46, indicating neutral momentum, suggesting neither overbought nor oversold conditions. The 50-day Exponential Moving Average (EMA) is positioned at $0.6648, just above the current price, which implies a slight bearish pressure in the short term.

      In conclusion, the AUD/USD pair shows potential for bullish movement above $0.66320. Traders are advised to consider buying at or above this level with a target price of $0.67024. A stop loss should be set at $0.65923 to manage potential downside risks.

      The current technical indicators and key price levels suggest a cautious but optimistic outlook for buyers, especially if the price stays above the pivot point of $0.6702.

      However, if the price falls below immediate support at $0.6591, it may signal a shift to a bearish trend, warranting close monitoring of subsequent support levels.

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      Daily Trade Ideas

      AUD/USD Price Analysis and Trade Forecast: Daily Trading Signal

      By LonghornFX Technical Analysis
      Jun 6, 2024
      Audusd

      Daily Price Outlook

      - AUD/USD trades at $0.66443, up 0.12%, with neutral momentum and a 50-day EMA at $0.6648.

      - Immediate resistance levels: $0.6699, $0.6735, $0.6771; support levels: $0.6591, $0.6559, $0.6528.

      - Entry Price: Buy above $0.66320; Take Profit: $0.67024; Stop Loss: $0.65923 for risk management.

      AUD/USD is currently trading at $0.66443, reflecting a modest 0.12% increase on a four-hour chart timeframe. The pivot point is set at $0.6702, serving as a critical marker for potential price movements.

      Immediate resistance is identified at $0.6699, with subsequent levels at $0.6735 and $0.6771. On the downside, immediate support is found at $0.6591, followed by $0.6559 and $0.6528.

      The Relative Strength Index (RSI) is at 46, indicating neutral momentum, suggesting neither overbought nor oversold conditions. The 50-day Exponential Moving Average (EMA) is positioned at $0.6648, just above the current price, which implies a slight bearish pressure in the short term.

      In conclusion, the AUD/USD pair shows potential for bullish movement above $0.66320. Traders are advised to consider buying at or above this level with a target price of $0.67024. A stop loss should be set at $0.65923 to manage potential downside risks.

      The current technical indicators and key price levels suggest a cautious but optimistic outlook for buyers, especially if the price stays above the pivot point of $0.6702. However, if the price falls below immediate support at $0.6591, it may signal a shift to a bearish trend, warranting close monitoring of subsequent support levels.

      AUD/USD Price Chart - Source: Tradingview
      AUD/USD Price Chart - Source: Tradingview

      AUD/USD - Trade Ideas

      Entry Price – Buy Above 0.66320

      Take Profit – 0.67024

      Stop Loss – 0.65923

      Risk to Reward – 1: 7

      Profit & Loss Per Standard Lot = +$704/ -$397

      Profit & Loss Per Mini Lot = +$70/ -$39

      AUD/USD