I been waiting for this for quite sometime.
considering the FX:EURUSD correlation to TVC:DXY , we almost have the exact setting in both charts on different ends.
expecting this to shoot up as TVC:DXY crumbles in my previous chart.
Multiple broken channel + head and shoulder formation .
both, the channel and the head and shoulder formation has been retested at this point.
expecting a little consolidation before a break out to the the downside.
Expecting to AUD to pick up here, once we get our combination of price action approval and breaking of the trend line confirmed, then i would assume its a bullish market.
If we break the channel we might test the bottom one more time before heading back up.
Expecting a turn around because we have reached a major support and the pair is oversold in 1 and 4hrs including daily.
IF we manage to break 1.26, we might got as low as 1.24 and turn there, it all depends on much steam DXY has.
DXY has also hit a major resistance and its overbought in my time frames.
Expecting dollar to start turning bearish. We might make one last push towards 97-98 before heading down or we might just get lucky and see the waterfall quicker if we break the trend line we are also topped by a resistance. Price action will tell.