Happy Friday, dear traders, Today’s we are here with technical analysis on AUDUSD Market. let’s we dive into the analysis with further delay.
⚡️ Today’s AUDUSD Technical Analysis and Trading Signal by Guriforex:
The AUDUSD pair is currently navigating a short-term bullish trend, forming an ascending channel pattern. Recently, the price dipped to the lower trend line of this channel, signaling a critical moment for traders. A divergence has also appeared on the RSI, which often indicates a potential reversal or weakening momentum in the market.
📉 Technical Overview:
- Ascending Channel Pattern: The price has been respecting the boundaries of this ascending channel, which has guided the recent bullish trend. However, with the price now resting on the lower trend line, traders are watching closely to see if this level will hold or if a correction is imminent.
- RSI Divergence: The RSI is showing a divergence, meaning that while the price has continued to rise, the RSI has not confirmed this movement with similar strength. This can be an early warning that the bullish momentum may be losing steam, and a reversal could be on the horizon.
🔍 Key Levels to Watch:
- Bullish Scenario: If the bulls manage to lift the price above the 0.6810 resistance area, the next target would be last year’s high of 0.6870. This move would reaffirm the bullish trend and could open the door for further gains.
- Bearish Scenario: Conversely, if the price breaks below the trend line, it could signal the start of a correction. The first support level to watch would be around 0.6700, where the price might stabilize after a pullback.
💬 What’s Your Take?
- 📈 Bullish: Are you expecting the AUD/USD to bounce off the trend line and push towards the 0.6870 level?
- 📉 Bearish: Or do you think the RSI divergence and trend line test are signs of an impending correction towards 0.6700?
Share your opinions about this analysis in the comments below! Your insights are valuable in understanding the market sentiment!