- AUD/USD bulls move in to test bear´s commitments.
- AUD/USD bears need to show up by the 0.6720s or below.
As per the prior analysis, AUD/USD Price Analysis: Bears aligned below 0.6710, we have seen the price pressured lower, but bulls have put up a good fight, so far. The following illustrates downside prospects while below 0.6710 still.
AUD/USD prior analysis
It was stated that the M-formation on the daily chart may act as the peak formation in a correction and lead to a move lower to break the structure on the downside.
AUD/USD H4 chart
The four-hour chart´s 50% mean reversion level near 0.6710 aligned with the neckline of the pattern that could continue to act as resistance.
AUD/USD updates
The price deteriorated but there has been a lack of momentum in the US Dollar and AUD/USD has climbed back into the barroom brawl as follows:
In the bearish thrust, there was a break in structure which leaves the bias to the downside so long as the bears show up and guard the 0.67s.
However, we can now adjust the daily chart´s Fibonaccis as follows:
This gives way to a move into the 0.6720s and if bears don´t show up by there, then the downside bias will be depleted significantly.
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