AUD/USD 1H Chart: Channel Up

Due to a formidable support at 0.8540 tested on Nov 7 the Australian is now able to pare some of the recent losses against its US peer. As a result, there is a bullish channel emerging, meaning the up-trend may remain intact in the coming days. The near-term rally is also implied by the proximity of AUD/USD to a tough support at 0.87, formed by the weekly PP and up-trend. The bearish correction in this case will be expected to start near the weekly R1 at 0.8825, where the pivot point coincides with the upper edge of the pattern. However, it is noteworthy that the technical indicators are not in favour of Aussie's appreciation—they are mostly mixed.