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Forecast for AUD/USD on July 23, 2020

AUD/USD

The Australian dollar slightly rose on Wednesday, the upper shadow almost touching the lower limit of the target range of 0.7190-0.7225. But this was enough for the Marlin oscillator to form a triple divergence on the daily scale.

analytics5f19064d040a6.jpg

This formation is rare, it is a strong reversal pattern. The price falling below the target level of 0.7080 will confirm its intention to continue the decline to 0.6900 (this level is the MACD line's target), and then in the medium term.

analytics5f19065fd710d.jpg

The Marlin oscillator began to quickly decline from the overbought zone on the four-hour chart, probably in order to confirm the first reversal signal on the daily divergence by going into the negative zone. The price leaving the area under the MACD line is a confirmation of this signal, approximately in the range of 0.7060/80.

The material has been provided by InstaForex Company - www.instaforex.com