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    Analysts at Société Générale see bullish potential for AUD/USD after it bounces from the 0.6410 support level.

    by VT Markets
    /
    Dec 3, 2025
    The FXStreet Insights Team FXStreet wants to remind you that the content on their platform is for informational purposes only. There are no guarantees regarding accuracy or timeliness. Readers should do their own research before making investment decisions since investing comes with risks, including the possibility of loss. The opinions in this article are those of the authors and do not reflect investment advice from FXStreet. Currently, the AUD/USD is holding a strong support level at 0.6410, which is the low point from August 2025. The pair has moved back above its 200-day moving average, indicating a positive technical signal for the short term. The next challenge is the downward trend line near 0.6600, which has limited gains since 2021. **RBA vs US Federal Reserve** Meanwhile, the market expects the US Federal Reserve to start cutting rates around mid-2026, as it makes progress in its battle against inflation. This difference in central bank policies—where the RBA is staying firm and the Fed is considering easing—could boost the AUD/USD. This makes it appealing to hold the Australian dollar against the US dollar. For traders looking for a breakout above the 0.6600 resistance, one strategy could be to buy call options with strike prices of 0.6650 or 0.6700. Choosing expirations in late January or February 2026 would give the pair enough time to potentially reach the September 2025 highs around 0.6710. This method offers defined risk while allowing for possible gains. The main risk to this outlook is the 0.6410 support level. If the pair drops and closes below this level, the bullish outlook weakens significantly. To manage this risk, traders might consider using put options with a strike price near 0.6400 as protection or to prepare for a possible downturn. Supportive news from commodity markets, vital for the Australian economy, also looks positive. Iron ore prices have been strong, trading above $130 per tonne recently. Continued strength in key exports like this gives the Australian dollar an additional boost. Create your live VT Markets account and start trading now.

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