USD to AUD Rate in Range After Australian Consumer Sentiment

The USD to AUD rate continues to trade within a narrow 100-pip range, as last night’s release of the Westpac Consumer Sentiment data for Australia failed to push the pair out of this band. The moving averages have served as significant support and resistance levels, providing strong signals for traders.

Westpac Consumer Sentiment for June

The strategy is to buy near the 100 SMA at the bottom of the range and sell near the 200 SMA at the top. Earlier this week, the AUD/USD tested the lower boundary of its tight trading range between 0.6575 and 0.66896 before challenging the upper boundary. Traders are capitalizing on this range by buying at the 100 SMA on the downside and selling at the 200 SMA (purple) on the topside.

The ultimate goal is to break out of this range. When the price eventually moves beyond these boundaries, we can expect a significant acceleration in the direction of the break. Until that happens, the strategy remains to trade within the existing range, defined by the 100/200 bar moving averages on the 4-hour chart.

AUD/USD Chart Daily – MAs Keep Rejecting the PriceChart AUDUSD, D1, 2024.06.24 20:55 UTC, MetaQuotes Ltd., MetaTrader 5, Demo

The ongoing sideways movement reflects market indecision, but also presents opportunities for range-bound traders. The key is to remain vigilant for any potential breakout, which could signal the start of a new trend and provide substantial trading opportunities. Until such a breakout occurs, we will continue to exploit the predictable movements within this well-defined range.

Westpac Consumer Sentiment for June



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Skerdian Meta
Lead Analyst
Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.
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