Dropping Below $0.6700, AUD/USD Targeting Lower This Week?


 The strengthening shown by the US dollar at the close of trading last week also pushed the price down on the chart of the AUD/USD currency pair.

A change to the bearish pattern of the price began to be evaluated after the price began to make a decline below the 0.67000 level until it reached the 0.66300 level last Friday.

Analysts however still expect the US dollar to remain under pressure in the market following the worsening banking crisis and the latest in Germany.

Deutsche Bank is reportedly in trouble after a surge in CDS insurance costs to a 4-year high.

Examining the AUD/USD chart, the price moving below the Moving Average 50 (MA50) barrier level on the 1-hour time frame still indicates that the price decline will continue this week.

If the US dollar is still strong at the beginning of the week, the price can be pushed lower towards the support zone at 0.65700-0.65400.

The zone is seen to be successfully supporting the price from falling lower for this March trade.

A lower break above that zone would suggest the price's latest lower target at 0.64000.

On the other hand, if the price starts to rise again this week, the MA50 barrier and the 0.67000 level that is broken will be an early signal for a change in the bullish trend again.

The continued increase will go to the height reached last week to be tested before recording the latest height level.

The next target is at the 0.68200 zone if the rising pattern continues successfully.