 Good morning and welcome to the CMC Markets chart of the week video with me Dave Madden Today's date is Wednesday the 24th of April 2019 and the time has just gone 955 British summertime This week's chart of the week is the Australian dollar versus the US dollar and if you take a look at the Aussie dollar chart here The wider view we can see that from January 2018 all the way through now. It's been a very obvious downward trend One of the more noticeable things about this about this market in recent months has been that the 200 a moving average this red line here has acted as a fairly decent Barrier to any move to the upside. It's been a fairly reliable resistant point In recent months, but I could further back we can see that it actually was acting as support Back in February 2018 a few occasions the rally in the highs of April 2018 right up towards it didn't get quite close to it we can see that at the high in In early December 2018 got up towards it not quite there And then there's quite a good examples here in both January and also only actually Earlier this month where the market actually ran into the tour to move the average and actually failed to actually close above it So while we remain below the tour to move the average which currency comes currently comes in the place in around Zero spot 7187 while we remain below that it's likely we could see further losses for the Australian dollar And if you do manage to press a lower from here, we could be looking at targeting at most Think it the the big psychology number of zero spot 7000 And if you do manage to have a break below that it could take us back down towards zero spot 6900 and I move below that might take us back to this region here in a zero spot 6840 We can see that that level hasn't been hit We haven't been down there since about January 2016 If we do manage to actually press on higher from here And actually managed to take out the racing high in around the zero spot 72 area and actually close above the tour to moving average. We could then be actually We could then begin the thing that maybe the wider downward trend has come to an end It should be close above the tour to moving average on a daily basis should be gonna break north of zero spot 7200 I could put us on track towards this area up here in around the zero spot 7300 region And then a move beyond that could be could be looking up towards this area here Just shy of zero spot 7400 which would which would be the early December 2018 high If you are going to be trading the Australian dollar versus the US dollar, just just keep in mind Most recent inflation figures out of Australia overnight. They first the first quarter 2019 CPI headline inflation fell to 1.3 percent. It's the slowest rating since the 2016 There has been a bit of increased chatter about the prospect of reserve bank of Australia cutting rates now not all investing banks or FX analysts believe that but at least the fact the very fact that some Banks are calling for the for the OBA to cut rates could suggest It gives an indication of what some participants in the market are thinking It's all too worth noting at the back end of this week on Friday We have we have used us quarterly GDP and that that's likely to add some volatility into the mix too One last thing before I go if you any comments make on this video or any of the other videos we've made here at CMC markets Please feel free to leave a review on interviews. Thank you very much