The Australian Dollar surged by 51 pips or 0.77% in value against the US Dollar on Friday. The currency pair tested the 50– hour simple moving average during Friday’s trading session.
After the exchange rate breached the 50– hour SMA, the AUD/USD pair made a U-turn down. The pair is currently approaching the monthly support level at 0.6571.
If the monthly S1 holds, the currency exchange rate will likely make a brief upward retracement towards the 0.6647 regions.
However, if the pair breaks the monthly support level, the next target for bearish traders would be at the 0.6540 area.
