22May, 2020No Comments|| 2
These past few days saw risk sentiment quite erratic because of the various economic issues in various countries. Generally though, the risk sentiment of the market is off. The AUDUSD was able to gain a bit of momentum upward in the past days. However, the pressure may move the AUD lower as it is a risk off currency.
Possible Fundamental Effects to the AUD
First is the US-China tensions. During the earlier part of the week, the US and China have been creating tirades against each other about which country spread the Coronavirus.
Fortunately for the AUD, China’s announcement of new security laws in Hong Kong was able to spark an upward movement in the AUD.
Technical Outlook of the AUDUSD
However, the upward movement may be temporary as the AUDUSD is approaching a key level of resistance at the 0.66620. With this level being a strong level, the AUDUSD may get stopped in its tracks and perform a steep downward movement.
At the meantime, its short term uptrend is still valid with a hit at minor support level at 0.65220. Should it continue to go higher, the 0.66620 is likely to push it back down to lower levels also following the risk off sentiment of the market.
Information on this page are solely for educational purposes only and is not in any way a recommendation to buy or sell certain assets. You should do your own thorough research before investing in any type of asset. Learn to Trade does not fully guarantee that this information is free from errors or misstatements. It also does not guarantee that the information is completely timely. Investing in the Foreign Exchange Market involves a great deal of risk which may result in the loss of a portion or your full investment. All risks, losses and costs associated with investing, including total loss of principal and emotional distress, are your responsibility.
Due to COVID 19 outbreak, we have transitioned everything ONLINE. This is to make sure there is zero impact on your safety, security and still maximize your learning experiences with Learn to Trade.
You can close this pop-up to see all our online schedules.