AUD/USD Price Forecast: Can Bulls Break Through the SMA Cluster Towards 0.7100?

Key resistance comes into focus as AUD/USD regains 0.7000, adding to its weekly advance.
With bulls testing the SMA confluence, 0.7074 remains the hurdle to further gains.
A breach of 0.7100 would bring 0.7150 and the September peak of 0.7237 into view.

Bullish momentum carried AUD/USD back above 0.7000, leaving the pair poised to test a cluster of key resistance levels in the 0.7000-0.7100 range. The Australian Dollar ended Friday’s session more than 0.22% higher, taking its weekly gain to over 1.20%. AUD/USD is trading at 0.7035 at the time of writing.

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AUD/USD Price Forecast: Can buyers clear key technical resistance?

A near-term bullish bias has emerged in AUD/USD following its rise from around 0.6900 in mid-October to current levels. Support for the Aussie has come from both a favourable technical setup and expectations of another rate increase by the Reserve Bank of Australia (RBA) before next year.

The main technical hurdle for buyers is the cluster of 100-, 50- and 200-day Simple Moving Averages (SMAs), standing at 0.7033, 0.751 and 0.7074, respectively. Clearing this zone could pave the way for a move towards 0.7100.

Beyond 0.7100, attention would turn first to the psychological level of 0.7150 and then to the daily high of 0.7237 recorded on 9 September. A break above that peak would put the year-to-date (YTD) high of 0.7277 in focus.

Should AUD/USD turn lower, initial support lies at 0.7000. A break below this level would shift attention to the 15 October cycle low of 0.6894.

AUD/USD Daily Price Chart

How Has the Australian Dollar Performed This Week?

The Australian Dollar posted its strongest performance against the US Dollar this week. Its percentage changes against the major currencies listed are shown in the table below.

	USD	EUR	GBP	JPY	CAD	AUD	NZD	CHF
USD		-0.15%	-0.46%	-0.77%	-0.81%	-1.12%	-0.74%	-0.14%
EUR	0.15%		-0.31%	-0.56%	-0.61%	-0.88%	-0.58%	0.03%
GBP	0.46%	0.31%		-0.25%	-0.30%	-0.56%	-0.26%	0.41%
JPY	0.77%	0.56%	0.25%		-0.05%	-0.35%	0.02%	0.75%
CAD	0.81%	0.61%	0.30%	0.05%		-0.29%	0.09%	0.71%
AUD	1.12%	0.88%	0.56%	0.35%	0.29%		0.30%	0.94%
NZD	0.74%	0.58%	0.26%	-0.02%	-0.09%	-0.30%		0.66%
CHF	0.14%	-0.03%	-0.41%	-0.75%	-0.71%	-0.94%	-0.66%

Percentage movements between major currencies are displayed in the heat map. Select the base currency in the left-hand column and the quote currency in the top row. For instance, choosing the Australian Dollar on the left and following that row across to the US Dollar gives the percentage change for AUD (base)/USD (quote) in the corresponding cell.