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Trade Of The Day: AUD/USD Falling Inside Down Channel, Seen Dropping Further

Published 03/15/2019, 08:15 AM
Updated 03/09/2019, 08:30 AM

AUDUSD 90 Candles

AUD/USD continues to fall inside the 4-hour Down Channel chart pattern which was previously identified by Autochartist. Autochartist rates the quality of this Down Channel at the 5-bar level – which is the result of the slow Initial Trend (2 bars), average Uniformity (5 bars) and higher Clarity (7 bars). AUD/USD is expected to fall further inside this Down Channel – in line with the earlier downward reversal from the key resistance area shown below.

AUDUSD 1 Day Chart

As can be seen from the daily AUD/USD below, the price earlier reversed down from the resistance area lying between the key resistance level 0.7100 (former support from February), upward trendline from January and the 50% Fibonacci correction of the previous downward impulse from February. The proximity of this resistance area increases the probability AUD/USD will continue fall inside this Down Channel.

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