AUD/USD Outlook Conflicted as Traders Look to Break Resistance

AUD/USD sentiment analysis shows traders are predominantly net long, implying potential for weakness.
Technical analysis indicates AUD/USD may be forming a double bottom reversal pattern.
Confirmation of the pattern would come with a break above 0.6500-0.6510 resistance.
Invalidation of the pattern could trigger a drop toward 0.6275 support.
Caution warranted ahead due to conflicting sentiment and technical outlooks for AUD/USD.

dailyfx.com

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8/25/2023

AUD/USD keeps pullback from 0.6480 upside hurdle amid cautious markets, Fed Chair Powell in the spotlight

The AUD/USD pair remains in defensive territory after experiencing a significant drop, as traders await central bank speeches at the Jackson Hole Symposium and navigate concerns about policy changes and prolonged low interest rates.

8/25/2023

As the month moves to a close, where have the markets taken traders?

In August, the USD strengthened against major currencies, with the dollar index up 2.28%, EURUSD down 1.83%, USDJPY up 2.83%, GBPUSD down 1.96%, USDCAD up 3.25%, and AUDUSD down 4.64%. Meanwhile, major global stock indices experienced declines, led by Hong Kong's Hang Seng index and China's Shanghai composite index.