© Dukascopy Bank SA
AUD/USD gained some momentum and has formed a Channel Up pattern on the 30M chart. The pattern has 55% quality and 54% magnitude in the 73-bar period.
The pattern started when the pair bounced from the 1.0203 and slowed down at 1.0303 after testing pattern's resistance band at 1.0309 and 1.0326. The SWFX market sentiment shows that 60% of the traders expect appreciation of the pair. Technical indicators suggest a bullish market outbreak on 4H time horizon indicating a that the pair most likely will continue to follow pattern's trend. Long traders could focus on the recent peak at 1.0312. If the pair breaches this level, next targets could be set at the recent pattern's resistance test level at 1.0326 and July high at 1.0330.
Technical indicators on aggregate point at depreciation of the pair in the nearest future (30M time horizon) indicating that the pair most likely will follow the pattern and will move towards pattern's support band and will rebound from it. Short traders could set the first target at todays plunge at 1.0288. If this level is breached, next targets might be at the 4H retracement (Fibonacci) level at 1.0274 and the patterns support band at 1.0263.
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