pullback after approaching overbought level

57
🔔🔔🔔AUD/USD news:

➡️ The AUD/USD pair is hovering just below the 0.6400 mark as bullish momentum pauses after a recent strong rally that pushed the pair to its highest level in nearly two months the day before, ahead of upcoming Australian employment data. The Australian dollar is supported by the Reserve Bank of Australia's cautious stance on further rate cuts, expectations of more stimulus measures from China, and a temporary suspension of tariffs by Trump.

➡️ The Australian dollar's upward momentum accelerated mid-week, lifting AUD/USD close to the 0.6400 level. This bullish movement followed a renewed wave of U.S. dollar weakness, amid ongoing U.S.-China trade concerns that continue to weigh on market sentiment.

Personal opinion:
➡️ DXY is maintaining good upward momentum today and will likely continue to maintain this recovery after entering the overbought zone. Therefore, AUD/USD will have a technical pullback in the near future.

➡️ Analysis based on important resistance - support zones combined with trend lines and RSI to come up with a suitable strategy

Plan:
🔆Price Zone Setup:

👉Buy AUD/USD 0.6320 -0.6300
❌SL: 0.6275| ✅TP: 0.6370 -0.6400

FM wishes you a successful trading day 💰💰💰

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.