AUD/USD Approaches Key Higher TF Resistance

Tom Stewarton 01/11/2021|
1 min read

AUD/USD is down so far in 2021, having opened the year at 0.77010 and currently trading at the 75.080 mark. Price has been in a bull market since the end of September 2021, but is now coming into some key resistance levels which may stall the upwards pressure. The Q1 low and Q3 highs both remain above as potential resistance zones, however price has now broken upside of the Q2 low which is likely to hold as a support.

Price has not traded above the year open since mid-June, and this bull market will be wanting to test prices above the year open. This current upside move is following the Commonwealth Bank of Australia’s forecast for RBA Rate hikes in November 2022 going public. The RBA’s guidance currently suggests that hikes will occur in 2024 at the earliest. CBA’s forecast cites strong labour market conditions and wage growth as key reasons for normalising monetary policy.