AUDUSD Technical Outlook


The AUD/USD pair traded with a mild positive bias through the Asian session on Friday but lacked any strong follow-through amid holiday-thinned trading conditions. What more is discussed in this 30 March AUDUSD Technical Outlook?

30 March, GKFX – The pair on Thursday bounced back from fresh YTD lows and jumped back closer to the 0.7700 handle amid subdued US Dollar demand.

This coupled with a sharp retracement in the US Treasury bond yields, which tends to drive flows towards higher-yielding currencies, further collaborated to the pair’s modest rebound from the lowest level since Dec. 18th.

Lacks strong conviction amid holiday-thinned liquidity

The up-move, possibly triggered by some short-covering ahead of an extended weekend, seemed lacking conviction and hence, it would be prudent to wait for a subsequent recovery before confirming that the pair might have bottomed out in the near-term.

With global markets shut today for Good Friday, the pair seems more likely to extend its consolidative price action and wait for next week’s RBA decision for a fresh directional impetus.

30 March AUDUSD Technical Outlook

On a sustained recovery beyond the 0.7700 handle, a fresh bout of short-covering could lift the pair back towards the 0.7745-50 supply zone. On the flip side, 0.7665-60 area is likely to protect the immediate downside, which if broken might turn the pair vulnerable to extend its downward trajectory towards testing the 0.7600 handle.

Disclaimer

This article 30 March AUDUSD Technical Outlook was written by analysts at GKFX. The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.

If such information is acted upon by you then this should be solely at your discretion and GKFX will not be held accountable in any way.

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