Looking at Aud/Usd on the daily chart we can see that we have over the past few weeks posted a higher low and also a higher high which suggests we will see the market longer term over the coming month moving towards our Major Descending Support structure area. (0.75 - 0.76).
Going down on the 4 hour chart the first thing that pops out to us immediately is the triple bottom that the market has posted and during the volatility of the US Federal Reserve News yesterday. Keynote that the federal reserve did not say anything to hawkish that makes us worried until there next review.
Price has broken our watch for break trend line and has broken impulsively. Looking forward we hoping to see the market make a correction towards the 0.5 - 0.618 Fibonacci level retesting the broken structure at the same time. We will also monitor the 0.38 level in case the market finds some bullish momentum from this area instead.
Monitor lower time frame to signal a buying opportunity for Aud/Usd as we are bullish for the next week.
As always, I’d love to hear your thoughts on the US Dollar Index and what your outlook is. Let me know in the comments below.
Hope you have had a profitable week in the markets, and it continues through into next week. The Fx Chartist