The Australian Dollar surged by 41 pips or 0.54% against the US Dollar on Tuesday. The surge was stopped by the 50– hour simple moving average during yesterday’s trading session.
Everything being equal, the exchange rate could continue to edge higher during the following trading session. A potential breakout through the upper line of a descending channel pattern could occur.
However, if the channel pattern holds, bearish traders are likely to continue to pressure the currency exchange rate lower in a descending channel pattern during the following trading session.
