Overview:
- According to the previous events, the AUD/USD pair is still moving between the levels of 0.7156 and 0.7059. The levels of 0.7156 and 0.8725 coincide with the 38.2% of Fibonacci retracement levels and 11.8% respectively in the H4 chart. Therefore, the first step is to wait for a period of tight sideways market before breakouts. Then, probably, the market is going to start showing bearish signs. In other words, it will be profitable to sell below the level of 0.7150 with the first target at 0.7102 and the price will drop towards 0.7060. However, if the pair fails to break 0.7102, the market will indicate a bullish opportunity above it, then the level will act as strong support. For that, buy above the 23.6% of Fibonacci retracement (0.7102) with the first target at 0.7156 and it will call for an uptrend in order to continue bullish movement towards 0.7193.
Forecast:
- The level of 0.7199 represents the double top, and the weekly support 1 is set at 0.7156. In the long term, sell below the level of 0.7156 with the first target at 0.7100, if the trend is be able to break the double bottom at the level of 0.7100; then it might resume to 0.7060.
Notes:
- The double top will set at the level of 0.7199.
- The major support is going to set at 0.7059.
- We expect a range of 95 pips today.
