AUD/USD consolidates after recent gains [Video]

Andrey Goilov RoboForex

The Australian dollar against the US dollar is currently experiencing a pause in its recent upward trajectory, stabilising around 0.6525 on the H4 chart. After three sessions of gains, the currency pair is undergoing a period of consolidation, likely preparing for a return to a stable ascending trend.

The slight retreat in the US Dollar, driven by profit-taking after its rally and anticipation of new developments in the US Treasury under President Donald Trump, has influenced the performance of the AUD.

The minutes from the Reserve Bank of Australia's latest meeting highlight the bank's commitment to maintaining a restrictive monetary policy until inflation consistently approaches the target range. The RBA remains open to adjusting its policy stance in response to changing economic conditions, with market expectations leaning towards a potential rate cut in the coming months, with a 37% probability in February and 58% in April.

Technical analysis of AUD/USD

H4 chart: The AUD/USD pair is currently in a phase of correction following a downturn that saw the local decline target at 0.6440 reached. The market is forming a corrective wave towards 0.6543. If this correction is completed, a new downtrend towards 0.6380 is anticipated. The MACD indicator supports this bearish AUD/USD outlook, positioned below the zero line and poised to descend to new lows.

H1 chart: On the H1 chart, AUD/USD is approaching the correction target near 0.6543, forming a consolidation pattern just below this level. The breakout from this consolidation is expected to be downwards, initiating another phase of decline. The immediate target for this decline is set at 0.6464. The Stochastic oscillator reinforces this bearish forecast, with its signal line pointing downwards towards the 20 mark, indicating potential further declines.

Author

Andrey Goilov

RoboForex

Higher economic education. Andrey Goilov has been working on the Forex market since 2005. A financial analyst and successful trader. Preference in trading is highly volatile instruments.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.