AUD/USD consolidates in preparation for a rally

For now it appears that AUD/USD is consolidating, recovering from its earlier problem of being overbought. However, this consolidation is thought by some to be a precursor to a rally for the Australian dollar.

FX Street reports on one view of the recent movements by AUD/USD in forex trading:


On the short-term, Elliott expects sideways movement between 0.8800 and 0.9400 before rallying to higher levels: "Note that trading remains within a very neat ‘channel’ and that all elements of the weekly Ichimoku ‘cloud’ chart point to a long position and the currency is no longer overbought."

It appears that the Aussie may be aiming for parity with the U.S. dollar, heading higher and possibly reaching a one to one exchange rate.

See Also



More informations about GFT in our Forex brokers section