AUD/USD Technical Analysis: Wedge correction up from 2018 lows

  • AUD/USD sellers drove the main bearish trend to new 2018 lows yet again this Tuesday. 
  • AUD/USD is forming a counter-trend bullish falling wedge which can signify that AUD/USD might enter a consolidation phase before resuming its bear trend. The correction up can target 0.7200 figure (August 15 low). The RSI, MACD and Stochastics on the 4-hour chart are pointing upward suggesting that the Aussie might be indeed oversold for the time being. 
  • A sustained bear breakout below 0.7085 (2018 low) would invalidate the short-term bullish correction.

AUD/USD 4-hour chart

Spot rate:                 0.7118
Relative change:      0.03%     
High:                        0.7130
Low:                         0.7085

Main trend:              Bearish
Short-term trend:     Bullish correction above 0.7085, 2018 low 

Resistance 1:          0.7144 September 5 low
Resistance 2:          0.7200 figure August 15 low
Resistance 3:          0.7236 August 24 low
Resistance 4:          0.7255 August 13 low
Resistance 5:          0.7294 August 13 high

Support 1:               0.7085, 2018 low
Support 2:               0.7000 figure
Support 3:               0.6830 January 15, 2016 low 

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