13/10/22 Daily Forex Strength Weakness Video

Thurs 13th October 2022

Today, Our Daily Forex Strength Weakness Video will focus on:

• AUDUSD

Charts Provided by Charles Clifton

Daily Analysis By Jon Kibbler

AUDUSD – Will The Trend Continue?

In today’s video update we focus on the AUDUSD forex pair which was highlighted by the live forex strength and weakness tables. The price of AUDUSD has been in a long term downward trend with the price currently in a weekly bearish impulsive phase. This can lead to the price forming lower lows and lower highs.

Fundamentally the RBA recently hiked by 25bps down from an expected 50bps move. This shows that the Australian central bank is slowing down the pace in which they hike rates. This was seen as a dovish move by investors and the AUD remained weak. In the US the Federal Reserve have been put under more pressure as data that directly affects inflation is not slowing. This could force the central bank to act more aggressively with their Federal Funds Rate. 

Technical Observations

• The USD is S1 and the AUD is W1 on both the trend and day trading tables.
• Price is currently consolidating on the 8hr chart.
• Minor resistance remains at the previous lows of 0.6360.
• If this is breached the next resistance zone is 0.6400.
• The price may trade through the current lows offering breakout opportunities.