Analyzing AUDUSD H4 Chart Support and Resistance

AUD/USD Price Action Amid Inflation Expectations

The AUD/USD, often nicknamed the “Aussie,” is a major currency pair representing the exchange rate between the Australian dollar and the U.S. dollar. This pair is highly sensitive to economic events from both Australia and the United States. Today, AUD/USD traders are focused on several key events, including a speech by RBA Governor Michele Bullock, which may offer insights into the central bank’s stance on interest rates. Additionally, consumer inflation expectations from the Melbourne Institute could influence market sentiment, especially if they signal rising inflation, which might prompt a more hawkish policy stance. In the U.S., key data releases, including the Producer Price Index (PPI) and multiple speeches from Federal Reserve officials, will shape expectations for future U.S. interest rates. A more hawkish tone from either side could provide upward momentum for the Aussie, while stronger U.S. data may weigh it down.

Chart Notes:
• Chart time-zone is UTC (+02:00)
• Candles’ time-frame is 4h.
On the AUD/USD H4 chart, the price is currently in a bearish trend, moving within the lower half of the Bollinger Bands and nearing the lower band. This downtrend is positioned between the 0.382 and 0.236 Fibonacci retracement levels, indicating that bearish momentum may continue if the price breaks below the 0.236 support level. The MACD indicator reflects negative momentum, further reinforcing the bearish outlook. Traders should monitor these support levels for potential continuation or reversal signals in the AUD/USD price action.

•DISCLAIMER: Please note that the above analysis is not an investment suggestion by “Capitalcore LLC”. This post has been published only for educational purposes.