Consumer confidence in Australia dropped 6 percent from March to April 2025. The new score is 90.1, the lowest in six months. The decline is not surprising. It shows how households are affected by the tariffs between the country and the United States. Personal finance assessments fell by 8.5 percent. The outlook for the economy in the next 12 months dropped by 5.2 percent. Historically, Australian consumer confidence has oscillated around an average of 96.4. The April reading is 90.1. This number is below average. It shows that there are many more pessimists than optimists.
AUD/USD Weekly Chart
When examining the dynamics between the Australian Dollar (AUD) and the United States Dollar (USD), commonly referred to as the Greenback, it becomes evident that the currency pair is currently constrained by a descending trend line that has been in effect since 2021. This trend line has created a key resistance level around 0.6620, which still holds strong today. Furthermore, the recent low for the pair has found support at the 61.8% Fibonacci extension, situated at 0.5970. These two significant levels serve distinct purposes. One functions as resistance, while the other acts as support. Together, they suggest that the AUD/USD pair may be in a range-bound situation. Given the current market conditions, it is important to recognize the historical significance of these levels. Therefore, it is reasonable to anticipate that the currency pair will likely remain within this defined range. This expectation holds true at least until mid-year, particularly in June and July of 2025. However, this outlook may change if unexpected market events arise.
Written by Sigmanomics Team
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