It's Good to Go Up, AUD/USD Plunged Again Over 100 Pips Yesterday!


 Investors still remain wary of the uncertain movement of the market towards the end of 2022 with any surprises that could happen.

After a gloomy start to the week, the US dollar nevertheless managed to bounce back to trade slightly firmer at the end of the week against other major currencies.

This situation was driven by the release of United States (US) consumer confidence data last Wednesday which recorded a figure that rose above forecasts.

And the US economic growth data published in the New York session yesterday also showed the latest reading figure increased compared to expectations to remain at the previous reading level.

Examining the price movement on the chart of the AUD/USD currency pair, the initial bullish pattern of the price changed again yesterday showing a decline.

The price is seen to have reached a high level of 0.67650 until the European session on Thursday yesterday, but continuing trading to the New York session the price has plunged again until reaching the level of 0.66500 with a daily decrease of more than 100 pips recorded.

A further decline in price below the Moving Average 50 (MA50) barrier signaled bearishness again with Friday's continued slow movement below the 0.67000 zone.

If the price decline continues, the weekly support zone around 0.66400 will continue to be tested and if it is unable to hold the price to fall lower, the price is likely to record the latest low.

The target to head around 0.65400 will record the lowest price level for the 6-week trading period.

However if the price bounces back past the MA50 barrier and the 0.67000 zone, the resistance zone at 0.67700 will once again be the focus to be tested as it was yesterday Thursday.

A further move higher will lead to around 0.68300 and then to the 0.69000 resistance zone.