What’s Behind the AUDUSD Upsurge? Insights and Forecasts for 2024
14 Aug 2024
As we enter the second half of 2024, the foreign exchange market is buzzing with activity, and one currency pair has captured the spotlight: AUDUSD. The Australian dollar’s recent surge in August 2024 against its US counterpart has left traders and investors pondering what factors propel this dynamic upward trend. Is it a reflection of Australia’s robust economic recovery, shifting commodity prices, or perhaps shifts in global monetary policy? It has nothing to do with that. In this supply and demand forex analysis, I will unpack the driving forces behind the AUDUSD upsurge, explore expert forecasts for the year ahead, and equip you with insights to navigate this evolving landscape. Whether you’re a seasoned trader or just dipping your toes into forex waters, understanding these trends can help you make informed decisions in a rapidly changing market. Join us as we delve deep into what makes AUDUSD tick!
Overview of the recent AUDUSD rally in August 2024
August 2024 marked a significant upturn for the AUDUSD currency pair. Traders may have been surprised as the Australian dollar surged against its US counterpart, breaking key so-called resistance levels and ignoring the supply and demand forces which move the currency exchange (Forex) market. This rally can be attributed to a combination of factors. Positive economic data from Australia sparked optimism among investors. Rising commodity prices also contributed, benefiting an economy reliant on exports.
You may think the market sentiment shifted due to concerns over US economic policy and interest rate adjustments. These dynamics created an ideal environment for the Australian dollar to gain traction. As trading volumes increased, many speculated whether this momentum would be sustained in the upcoming months. Observers noted that such movements often signal broader shifts in global forex markets. This rally’s energy has captivated traders looking for opportunities in volatile conditions. All this becomes irrelevant once you add supply and demand to the Forex analysis equation.
Supply and Demand Technical analysis of the AUDUSD chart
At the beginning of August 2024, I updated the AUDUSD Forex cross-pair analysis at Set and Forget Online Trading Academy. A monthly demand had regained control, and we expected a surge in price, which would help the Australian Dollar to get stronger against the US Dollar.
On August 4th, 2024, I updated the AUDUSD Forex cross-pair analysis for Set and Forget Online Trading Academy. We noticed a monthly demand that had regained control, causing us to predict a price increase that would strengthen the Australian Dollar compared to the US Dollar. The Forex analysis is shown below.
On Tuesday, the updated Forex analysis revealed that the Australian dollar is strengthening against the US Dollar. We anticipate that it will continue to rise in the coming weeks.
Conclusion: Is it time to buy, sell or hold on to your AUDUSD investments?
The current landscape for AUDUSD with monthly demand in control is clear. Buying AUDUSD should be the action to take. Fundamental Forex analysts will probably argue that the AUDUSD presents opportunities and challenges. Investors must weigh the recent rally against underlying economic indicators and geopolitical developments. For those considering their next move,
For risk-averse traders, setting stop-loss orders and diversifying portfolios may help mitigate potential losses while capitalizing on upward trends. Ultimately, staying informed will empower you to make the best decisions based on evolving market conditions.
Your strategy should align with your financial goals and tolerance for risk as 2024 unfolds. Keep an eye on key levels in technical analysis to guide your trades effectively.
© 2013 – 2024
Set and Forget S.L
All Rights Reserved.
Follow Us
Disclaimer
Any Advice or information on this website is General Advice Only - It does not take into account your personal circumstances, please do not trade or invest based solely on this information. By viewing any material or using the information within this site you agree that this is general education material and you will not hold any person or entity responsible for loss or damages resulting from the content or general advice provided here by Set and Forget, its employees, or fellow members. Futures, options, and spot currency and stocks trading have large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the Forex and futures markets. Don't trade with money you can't afford to lose. This website is neither a solicitation nor an offer to Buy/Sell spot Forex, cfd's, stocks or other financial products. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed in any material on this website. The past performance of any trading system or methodology is not necessarily indicative of future results.
High Risk Warning: Forex, Futures, and Options trading has large potential rewards, but also large potential risks. The high degree of leverage can work against you as well as for you. You must be aware of the risks of investing in Forex, futures, and options and be willing to accept them in order to trade in these markets. Forex trading involves substantial risk of loss and is not suitable for all investors. Please do not trade with borrowed money or money you cannot afford to lose. Any opinions, news, research, analysis, prices, or other information contained on this website is provided as general market commentary and does not constitute investment advice. We will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from the use of or reliance on such information. Please remember that the past performance of any trading system or methodology is not necessarily indicative of future results.