AUD/USD May Rally to 0.65

While we expect AUD/USD to return to the higher range of 0.65, the question is when that will happen.

The Aussie dollar will presumably rebound with strong momentum once the global pandemic is effectively contained, and its estimated that the pair will reach 0.63 before the end of this year, up 150 pips from the current level. The market will continue to be volatile for a while, but not for long.

As China is Australia‘s largest trade partner, the recovery speed of China’s economy will critically affect how fast AUD will rally. Being the second largest economy in the world, China is seeing an eventual revival of its economy, which is also a positive factor for the Aussie dollar. In a long-term perspective, the current price of AUD is still comparatively low.

AUD/USD daily pivot points: 0.6083---0.6111

S1 0.6008 R1 0.6154

S2 0.5950 R2 0.6242