The Aussie has managed once again to bounce from the previous support level 0.7300. Right now it seems the AUDUSD has established a double bottom, which can signal a reversal. However, for the double bottom pattern to be confirmed we really need to break above the resistance level 0.7342. More importantly, a daily close above 0.7342 will be much stronger bullish signals. Above, on the upside, we have the big psychological number 0.7500 which should act as a major resistance level. On the downside, the support levels 0.7346 followed by 0.7300 should hold the downside for the time being. With the stochastic indicator in overbought territory we can expect to see another try from bears to break below. However, if the bears can’t break through until the stochastic indicator resets itself, we should expect the downside to hold and see again some bullish momentum. The Australian economic calendar has some scheduled risk events for the week ahead. On Tuesday the Trade Balance data followed by the CPI inflation data are expected to give more clarity to the price action. Other than that we don’t have any other catalysts to stimulate volatility. Previous AUDUSD Weekly Forex Forecast

AUDUSD Weekly Forex Forecast - 23rd to 27th July 2018