FX.co ★ Forecast for AUD/USD on October 16, 2023

AUD/USD

On Friday, the Australian dollar tested the support within the 0.6295-0.6388 range, this is where the pair has been trading since October 3rd. This morning, the price hinted at a reversal from the lower band of this range. The Marlin oscillator is helping by turning upwards.

We can confirm this reversal once the price breaks above 0.6388, allowing it to aim for the MACD line at 0.6447. If the price falls below 0.6295, this would dash hopes of the pair rising and possibly even reaching the target at 0.6171.

On the 4-hour chart, the price started the day by actively rising while the Marlin oscillator is also moving upwards.

Even if there's an intention to rise in the medium-term, there's still much to be done. The first task is to overcome the MACD indicator line around 0.6363. Afterwards, it's crucial for the price to consolidate above the target level of 0.6388. Once the price succeeds in doing so, the next target will be 0.6447, which the price needs to surpass.