AUD/USD Weekly Price Forecast – Australian Dollar Hits Support

The Australian dollar tried to rally during the week but then fell somewhat hard to reach down towards the 0.76 handle, an important area in the longer-term.
The Australian dollar initially gapped lower to kick off the week, turned around to fill that gap, and then fell somewhat hard. That being said, the market looks as if it is trying to fall from here to slice through the 0.76 handle, which has been support more than once over the last couple of months. If we were to break down below that level, it would be a relatively important sell signal, as the breaking of that level would kick off a break down below the February shooting star candlestick.
Having said that, we could chop around in this area for a while, because quite frankly there are a lot of questions out there as to whether or not we are going to focus on stimulus, or if we are going to focus on rising yields in America? If we focus on the latter of the two, that could be the catalyst to break this pair down. On the other hand, if people start to focus on the stimulus and infrastructure situation, then it is possible that the Australian dollar will continue to get bullish.
That being said though, the 0.80 level above is a major resistance on the monthly charts, so it is certainly worth paying attention to the fact that the area has been a massive brick wall of sorts. If we were to break above the 0.81 handle, then the market is likely to go much higher, perhaps reaching to the 0.88 level, maybe even the 0.90 handle after that. At this point, it certainly looks as if it is a market that is trying to form a short-term topping pattern.