AUD/USD Price Analysis: Bulls eye daily trendline resistance and a confluence near 0.6800

AUD/USD is correcting and the bulls might have only just got going.
AUD/USD bulls eye the 78.6% Fibonacci near 0.6800.

Ross J Burland FXStreet

AUD/USD is making a positive effort for the initial balance of the week, moving up into shorts that built from a breakout below 0.7000 in the middle of the month. The moves follow the pre-market open analysis from Monday Asia, here:

AUD/USD Price Analysis: Bulls eye a correction to test dynamic resistance

AUD/USD prior analysis

It was explained that while potentially on course for a full test of last month's lows, AUD/USD was in a correction zone and the trendline resistance was compelling for a target of liquidity.

AUD/USD update

AUD/USD has reached toward a 50% mean reversion area and is starting to come under pressure. However, that is not to say that the correction is on the way out. Instead, it could be building up into a geometrical pattern:

A target of the 78.6% Fibonacci higher up near 0.6800 would align with the daily trendline resistance as follows:

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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