Last week, AUDUSD declined from a Sell Zone I mentioned in my Weekly Markets Analysis newsletters - 0.77 The resistance zone included an harmonic pattern (Pink small Gartley) and also a daily structure zone. Despite its 100 pips decline, AUDUSD still hasn't reached my first target zone which is the daily Fast SMA line so I'm expecting some further decline this week also. There are 3 potential target zones for AUDUSD's bearish setup: 1. SMA line near 0.755 2. 50, 200 and support zone near 0.735-0.74 - Major support zone 3. Completion of bullish Gartley (yellow) near 0.7
I'm not sure that AUDUSD will reach all the way down to 0.7. The 0.74 zone is as mentioned a very strong daily support zone and it can drive AUDUSD higher ...even above 0.77.. to complete a bigger Gartley near 0.79 (blue). The bulls among you can try to trade the upside potential from 0.74 to 0.79 with 0.76 and 0.77 as additional Target Zones
Read this week's newsletters that include more info about this analysis and more (including video) - goo.gl/5u89f8